Turkish central bank raises rates Much Higher Than Expected – Lire Surges
CBRT raised one-week repo rate by 625 bps
Market was expecting 300 to 500 bps. The USDTRY surged against the dollar to near 6.00 on the announcement from 6.40 levels earlier USD/TRY has recouped some losses back to 6.15 currently but the Turkish central bank has sent out a message with this one.
The lira’s gains have popped emerging markets with the rand and rouble also gaining on the day by more than 1% against the dollar.