💰 Turkey's inflation hits fresh 24-year high of 83% after rate cuts

TL;DR

Inflation has surged since November last year, as the lira slumped following cuts to the policy rate by the central bank, in an unorthodox easing cycle long sought by Erdogan.September inflation was driven by transport prices, which surged nearly 118% year-on-year, while food and non-alcoholic drinks prices jumped 93.05%.Despite the relentless rise in inflation, Erdogan said last week he had advised the central bank to lower its policy rate at its upcoming meetings, a day after saying he expects interest rates to come down to single digits by year-end.JP Morgan said inflation was likely to remain in the "abnormally high range until policies get orthodox," adding that it expects the easing cycle to "continue until it cannot."Goldman Sachs said it now expects the central bank to cut its policy rate by 100 basis points every month until the end of the year."

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