Expectation of Further Tightening for the CBRT from Deutsche Bank

Expectation of Further Tightening for the CBRT from Deutsche Bank It was reported from Deutsche Bank that there is an expectation of further tightening for the CBRT. In a research note published by the bank, it was noted that further tightening was required for the CBRT. In a research note published by Deutsche Bank, it was stated that further tightening decisions are expected from the Monetary Policy Committee meeting which will be held on Thursday. The bank said, " We base this expectation on the rising inflation, the increase in foreign currency reserves in terms of cash and gold, and the words of President Naci Ağbal.” and made a statement that pointed out that a further tightening of 250 basis points is necessary. Emphasizing that a 250 basis point increase decision will bring interest rates to 17.50 percent, Deutsche Bank stated that real interest returns will be around 2-2.5 percent. The bank also said, "We expect an increase of 150 basis points in this week's meeting." and stated that at the beginning of 2021, another rate hike of 100 basis points is expected. Deutsche Bank noted that the dollar / TL will likely remain at around 7.50 in the coming months, and that this figure is below the fair value level of 7.80 that they set for TL.