Turkey’s Roadmap Leads to Greater Risks for Tumbling Lira, Bonds
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A complicated statement to simplify monetary policy.
That’s how investors, at least, took the statement that followed yesterday’s announcement by the Turkish central bank that it would keep its interest rates on hold, as bonds and the lira tumbled and the cost of protecting against a debt default soared to the highest in more than a year. Investors get a second chance to understand Governor Erdem Basci’s logic and the policy “roadmap” he unveiled at the bank’s regular monthly meeting with economists on Wednesday.