Turkish Lira Could Stay Weak as Rate Cut Looks Imminent
Dow Jones
5 hours ago
0918 GMT - The Turkish lira should remain under sustained depreciation pressure as the country's latest inflation data could encourage the central bank to cut interest rates on October 22, Commerzbank's Tatha Ghose says in a note. Data on Monday showed annual inflation eased to 29.7% in September from 31.5% in August which creates "the perfect background for Turkey's central bank to cut rates by 100 basis points later this month," he says. While interventions to prop up the lira could limit the extent of the currency's falls, further losses look likely, he says. The dollar rises 0.1% to 49.1752 lira after earlier reaching a record high of 49.1821, LSEG data show.
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