Economics

Turkish Central Bank Pledges Policy Action to Stem Inflation

  • Bank makes announcement after August inflation report
  • Price gains last month were broad-based, led by weak lira
Turkey will get worse before it gets better, says Peter Kinsella, senior FX & rates strategist at CBA Europe.(Source: Bloomberg)
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Turkey’s central bank signaled higher interest rates are in the offing after inflation rose more than forecast in August and producer prices surged.

The lira briefly erased losses after the announcement.