ONE-TWENTY TWO: Trading Financial Markets
Exploring the poetry in financial markets for students of money and economy since the year 2000.
When I last wrote about the Turkish lira in mid-January, USD/TRY had pulled back sharply off a parabolic run-up. The iShares MSCI Turkey (TUR) was also at the beginning of a dramatic bottoming pattern that was later confirmed with a close above its 50-day moving average (DMA). Source: FreeStockCharts.com When the Central Bank of the … Read more
Desperate times bring out the creativity. On Thursday, January 12, the Central Bank of the Republic of Turkey (CBRT) effectively tightened monetary policy by canceling its weekly auction used to fund banks. On top of this move, Turkey’s President, Recep Tayyip Erdogan, likened Turkey’s forex predicament to a fight against economic terrorism. Deutsche Bank (DB) … Read more
“The Central Bank of the Republic of Turkey (CBRT) closely monitors the excessive volatility in the markets and will take necessary measures against unhealthy price formations that are inconsistent with economic fundamentals. Banks’ borrowing limits at the Interbank Money Market established within the CBRT have been lowered to TL 22 billion to be effective as … Read more
“The slowdown in aggregate demand contributes to the fall in inflation. Yet, exchange rate movements due to recently heightened global uncertainty and volatility pose upside risks on the inflation outlook. The Committee decided to implement monetary tightening to contain adverse impact of these developments on expectations and the pricing behavior.” – The Central Bank of … Read more