Morgan Stanley and JB Morgan exclude the reduction in interest in türkiye

Türkiye is expected to suspend the interest rates it started recently after a difficult week in its financial markets. International banks rushed to review their estimates following the sharp decline in the Turkish Lira, which coincided with the detention of Istanbul Mayor Akram Imamoglu last Wednesday. Where the lira lost to 11% of its value on the same day and recorded the lowest level. Prior to the detention of OGLU and then his arrest, the opinions of observers in the local market unanimously turned to a fourth reduction in the central bank’s meeting planned on April 17, especially in light of the slowdown of inflation as expected in February on an annual basis. However, the “Societe General” team, led by Wenger Calin, withdrew its previous weight with a new reduction, expecting to keep the interest rate at 42.5%and postponing any facilitation step until June. In the same context, Zumda Imamoglu, the great economist of “Bank of America”, changed its estimate by reducing 200 basis points to expect the benefit, and its expectation of the interest rate changed to 32.5% instead of 30.5%. Note that the bank can “increase the benefit if you feel more risks with the local dollar.” The reduction of Turkish interest depends on data, according to what “Bloomberg” quoted Turkish economic officials, the decision will depend on data, in light of their failure to provide any clear prescriptions on monetary policy. The Turkish central bank held an emergency meeting of the monetary policy committee last week, during which the lending price rose from 44%to 46%one night, while staying at the price of the ribo for a week without changing 42.5%. Morgan Stanley also changed his expectations. The economic knowledgeable hands of the bank has expected a 250 points reduction, but now she believes that the holding of the current price became the most likely option in April, due to the effects of the currency drop and the increase in uncertainty. The estimates of inflation also rose to 29%, and the interest rate by the end of the year to 33.5%. In a similar amendment, Fateh Akghalk, the economy of JB Morgan, changed by a reduction in April, instead of a series of discounts that started with 150 basis points per meeting in June, with interest up to 35% at the end of the year. The Turkish central bank started this facilitator in December last year, with the aim of reducing the inflation rate by the end of 2024 to 24%.