USD / TL Started the Day with an Increase after CBRT's Interest Decision

USD / TL Started the Day with an Increase after CBRT's Interest Decision After the CBRT's interest decision, USD / TL started the day with an increase. The Central Bank made a serious interest rate hike decision in line with the expectations in its November meeting. Thus, the exchange rate declined sharply. After the decision, the dollar / TL started the new day with plus. Central Bank of the Republic of Turkey (CBRT) took important decisions at its November policy meeting on Thursday. In the first policy meeting chaired by the new President Naci Ağbal, CBRT realized a strong interest rate increase in line with the market expectations. In addition, it was stated that by taking the simplification step, all funding will be made through weekly repo. While the CBRT increased the interest rates by 475 basis points, there was a serious decrease in the dollar / TL exchange rate. Then, starting the last trading day with a limited increase, the exchange rate was traded at the level of 7.5806 at 10.15, plus 0.45 percent. Euro / TL traded at the level of 9.0047. The BIST 100 Index in Borsa Istanbul closed Thursday with a premium of 1.41, the highest in its history, at 1.313 points. The indicator index started Friday at 0.20 percent plus. CBRT revised the TL interest rate used in weekly swap transactions from 13.25 percent to 15 percent today. Speaking on Thursday, Capital Economics senior market economist John Higgins said the rate decision is evidence of the CBRT's transition to a more aggressive attitude towards high inflation. Higgins said, “We estimate that the dollar / TL will complete the year 2020 at 7.25. This means that the lira will gain about 4 percent from the current level.”