Following the September inflation data, UBS, BBVA and Barclays published new reports regarding the interest rate cut expectations of the Central Bank of the Republic of Turkey (CBRT).
Bloomberg HTAccording to the news in , UBS announced that while the CBRT expects the CBRT to start reducing interest rates in November, this reduction may extend to 2025 as risks increase.
UBS economist Gyorgy Kovacs said, “The disinflation process has become more uncertain,” and pointed out that the 250 basis point reduction expected in November may be postponed.
BBVA, on the other hand, moved its first interest rate cut expectation to December due to monthly inflation being higher than expected. The bank evaluated that “Although the CBRT’s year-end inflation expectation dropped to 43%, this creates limited space for cautious reduction.”
Barclays also stated that the discount in November is critical, but emphasized that if October inflation data is above 2%, the first discount may be postponed to the end of 2024 or 2025.
Source: www.dunya.com
