Developments and Expectations in the Bond Market
According to Bloomberg HT survey, the market expects CBRT to raise the policy rate by 250 bps to 45% at tomorrow's MPC meeting. The bond yield curve has seen increases of up to 400-500 bps in the last month, especially in short maturities, due to the expectation that rate hikes will still continue.
After the CBRT's move this week, the message in the text may be decisive for the bond yield curve and TL interest rates in the market. It is noteworthy that the number of investors in TL-denominated borrowing instruments has continued to decline during the recent upward trend in TL interest rates. The rise in US bond yields and Turkey's risk premium CDS in January also seems to have had some impact on the rise in TL bond yields.
Turkish Markets Daily
npub1f9…cgnq0
2024-01-24 10:23:10
Author Public Key
npub1f9fsgmlcd72qs342yya4spfsnq35vra5qxtv6wnz6pcdhemp9nvqvcgnq0Published at
2024-01-24 10:23:10Event JSON
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"content": "Developments and Expectations in the Bond Market\n\nAccording to Bloomberg HT survey, the market expects CBRT to raise the policy rate by 250 bps to 45% at tomorrow's MPC meeting. The bond yield curve has seen increases of up to 400-500 bps in the last month, especially in short maturities, due to the expectation that rate hikes will still continue. \n\nAfter the CBRT's move this week, the message in the text may be decisive for the bond yield curve and TL interest rates in the market. It is noteworthy that the number of investors in TL-denominated borrowing instruments has continued to decline during the recent upward trend in TL interest rates. The rise in US bond yields and Turkey's risk premium CDS in January also seems to have had some impact on the rise in TL bond yields.",
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