Central Bank to announce interest rate decision today
The Central Bank's Monetary Policy Committee will announce its interest rate decision today. In its previous meeting, the bank had raised the policy rate to 30 percent.
12punto
The Monetary Policy Committee of the Central Bank of the Republic of Türkiye (TCMB) will meet today under the chairmanship of Central Bank Governor Hafize Gaye Erkan. The interest rate decision will be announced at 14:00 on the same day. At the MPC meeting held last month, the policy rate was increased by 500 basis points from 25.00 percent to 30 percent.
INTEREST RATE HIKE EXPECTED
The Central Bank is expected to continue its interest rate hikes at this meeting as well. The focus will be on the messages provided in the decision text. Clues regarding simplification and tightening will be sought.
MPC EXPECTATION SURVEY CONCLUDED
The expectation survey for the TCMB's Monetary Policy Committee (MPC) meeting was concluded with the participation of 19 economists. The median of the economists' expectations regarding the change in the policy rate was an increase of 500 basis points. According to the survey results, the policy rate expectations of economists, who foresee an increase of 250 to 500 basis points, ranged between 32.50 percent and 35.00 percent. The median of the economists' year-end policy rate expectations was 40.00 percent.
Domestically, the BIST 100 index on Borsa Istanbul, which followed a sell-heavy trend yesterday, closed the day at 7,424.97 points with a 7.08 percent decrease, while eyes are turned to the TCMB's interest rate decision today. Economists participating in the AA Finance expectation survey estimate that the one-week repo auction interest rate (policy rate) will be increased by 500 basis points to 35.00 percent.
The Dollar/TL exchange rate is trading at 28.1420 at the opening of the interbank market today, after closing the day at 28.1372 with a 0.1 percent increase yesterday.
Analysts noted that today, in addition to the monetary policy of the TCMB domestically and the ECB abroad, a busy data agenda, primarily growth in the US, and the news flow regarding the Israel-Palestine conflict will be followed, and stated that from a technical perspective, the 7,400 and 7,250 levels are support, and the 7,500 point level is resistance for the BIST 100 index.