Free Trial

TRY: USD/TRY Dips to Fresh Weekly Low on New Liquidity Measures

TRY
  • USDTRY has seen a solid dip on that Bloomberg report, dipping just below its earlier weekly lows around 32.79. Sell-side had widely been expecting the central bank to supplement the rate pause with further tightening in its policies to manage liquidity.
  • Ekonomi newspaper reported earlier in the week that interest rates on lira deposits decreased below the central bank’s policy rate of 50% at various maturities due to excess TRY liquidity created by the CBRT's foreign exchange purchases.
  • The new measures will reduce the availability of TRY to local lenders (by capping the total amount of FX-swaps banks can execute with the monetary authority at 0.5% of their daily FX market limits from 3% previously) and could therefore result in higher deposit rates.

To read the full story

Close

Why MNI

MNI is the leading provider

of intelligence and analysis on the Global Fixed Income, Foreign Exchange and Energy markets. We use an innovative combination of real-time analysis, deep fundamental research and journalism to provide unique and actionable insights for traders and investors. Our "All signal, no noise" approach drives an intelligence service that is succinct and timely, which is highly regarded by our time constrained client base.

Our Head Office is in London with offices in Chicago, Washington and Beijing, as well as an on the ground presence in other major financial centres across the world.