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Turkey: Reckless and dangerous rate cut
Thu, Nov 20 2008, 09:18 GMT
by Lars Christensen
In a move which took everyone, ourselves included, by complete surprise, the Turkish central bank (TCMB) on Wednesday cut its key policy rate (the borrowing rate) by 50bp to 16.25%, and its less important lending rate by 100bp to 18.75%! We are very surprised by the bank's decision which we regard as a reckless and dangerous move likely to send the Turkish lira plummeting.
Published on Thu, Nov 20 2008, 09:19 GMT
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