17 Aug 2015
Weaker TRY could prompt CBRT acting – BBH
FXStreet (Edinburgh) - According to analysts at BBH, the Turkish central bank could implement measures to quell the weakness around the lira.
Key Quotes
“The Turkish central bank meets on Thursday and while most expect no change in the policy rate, there has been some recent speculation that they may do something to contain the falling lira”.
“Turkey’s benchmark main policy rate is 7.50% and despite the government’s pressure for further cuts, high inflation (just under 7%) and the risk of pass-through will keep policymakers at bay”.
“One possibility is that the bank begins its process of simplification of monetary policy tools, with a narrowing of the corridor”.
Key Quotes
“The Turkish central bank meets on Thursday and while most expect no change in the policy rate, there has been some recent speculation that they may do something to contain the falling lira”.
“Turkey’s benchmark main policy rate is 7.50% and despite the government’s pressure for further cuts, high inflation (just under 7%) and the risk of pass-through will keep policymakers at bay”.
“One possibility is that the bank begins its process of simplification of monetary policy tools, with a narrowing of the corridor”.