Commerzbank Sees Market Doubts on Turkish Lira Stability
Commerzbank's Tatha Ghose says a CBRT survey shows market participants raising inflation forecasts and expecting only gradual rate cuts, casting doubt on disinflation and lira stability.
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Market participants surveyed by Turkey's central bank have revised their inflation expectations higher, according to Commerzbank's Tatha Ghose.
Respondents also reportedly anticipate only gradual policy rate cuts from current levels, rather than aggressive easing.
Taken together, the results suggest investors remain skeptical about the pace of disinflation and the stability of the Turkish lira.
Source: FXStreet Forex News