FxNews – JPMorgan experts are waiting to buy Turkey’s longest-lasting lira bonds until the interest rates hit 35.7%. This choice is because of what the Central Bank of Turkey did recently. Because of these actions, the 10-year lira bond rate has gone up, reaching a record of over 29%. The Central Bank made big changes, like raising its main rate by a large amount and moving towards normal market operations. They did this because the government had been controlling the rates before, which slowed down the lira bond market.
To get foreign investors interested in Turkey’s assets again and to affect the USDTRY exchange rate, the rules are being relaxed slowly. JPMorgan is still very interested in the lira. They are considering things like the risks of rising prices, how competitive the lira is, and what might happen if business loan goals are met. The report also talks about stopping the need for buying government bonds, fines for banks that charge high lending rates, and changes in fixed-rate bonds. This shows that Turkey is moving towards a more open market and less control by the government in how money works.
J.J Edwards is a finance expert with 15+ years in forex, hedge funds, trading systems, and market analysis.