Turkey Policy Rate Forecast: June 7 Announcement

Unstoppable capital outflows and rising prices, last monthCentral Bank of Turkey raised emergency rates!

Even though rates were raised significantly, demand for the Turkish lira did not rebound.

Please see below for details on Turkey's emergency rate hike.

Turkish Central Bank, second emergency rate hike!

TRY/JPY intraday chart

USD/TRY intraday chart

As of June 6, Turkey's policy rate is as follows.

・ Overnight borrowing rate: 15.0%
・ 1-week repo rate: 16.5%
・ Overnight lending rate: 18.0%
・ Late liquidity lending rate: 19.5%

Policy rate forecasts for June 7 are all over the place!

Here is a simple summary.

JP Morgan: Policy rate up 0.5%

Morgan Stanley: Policy rate up 0.75%

ING Bank (Turkey): Policy rate up 0.5%

Goldman Sachs: Policy rate unchanged

Nomura: Policy rate up 1%

Money Square: Policy rate unchanged

Minkabu FX: Policy rate unchanged

GMO Click Securities
Policy rate up 0.25%
Overnight lending rate up 0.75%
Overnight borrowing rate up 0.5%
Late liquidity lending rate unchanged

Money Partner: Policy rate unchanged

Daiwa Securities
Policy rate up 0.25%
Overnight lending rate up 0.75%
Overnight borrowing rate up 0.5%
Late liquidity lending rate unchanged

Rakuten Securities: Policy rate unchanged

Monex Securities: Policy rate unchanged