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Looking For Cues From Erdogan's AKP Congress Speech

TURKEY

Turkish President Recep Tayyip Erdogan is due to speak at the AKP congress in Ankara today, which will be closely watched for any indication of the rumored government reshuffle and potential direction of monetary policy following the installation of former MP Sahap Kavcioglu as CBRT governor.

  • The lira has stabilised following the initial knee-jerk sell off on Sunday evening and likely reflects official intervention, but with elevated vol across the curve (USDTRY 3M IV continues to hold above 30% ) the pressure remains clear.

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