Heatwave and economy: Europe’s record-breaking heat is now hitting central and eastern parts hardest, with forecasts up to 38C in Hungary and neighbouring countries and WHO warning of over 1,300 excess deaths since 21 June; the strain is also showing up in infrastructure and services, including major rail disruptions where AC systems can’t cope with 40C conditions. Tourism and regulation: Budapest’s Airbnb crackdown is reshaping demand: Terézváros (District VI) saw a sharp drop in available bed places and arrivals after the private-accommodation ban, while other districts absorbed some of the spillover; overall May tourism was mixed, with arrivals up but tourism nights slightly down. Euro adoption watch: The ECB says Romania has made only limited progress toward the euro, citing high inflation, fiscal gaps and remaining legal incompatibilities; for Hungary, long-term interest rates are still above the reference value and governance quality remains a key sticking point. Energy and industry: Hungary’s homebuilding costs are rising and the country is also moving on batteries and grid investment, including new battery storage capacity and broader electricity network developments. SMR and markets: Rolls-Royce’s push into small modular reactors keeps drawing investor attention, with potential spillovers for European energy and industrial strategy.