After the interest rate decision of the US Central Bank (Fed), the eyes will be on the interest rate decisions of the Central Bank of the Republic of Turkey (CBRT) and the Bank of England (BoE) today.
With its decision announced last night, The US Central Bank (Fed) increased interest rates by 25 basis points in line with expectations and raised them to the range of 0.25-0.50 percent. This decision means the Fed’s first rate hike in 3 years.
The forecast for growth in expectations for economic indicators announced together with the interest rate decision was reduced to 2.8 percent. The U.S. inflation forecast for this year rose to 4.3 percent from 2.6 percent.
Dollar-Euro in Turkey: While the markets did not react significantly to the Fed’s rate increase, which came within expectations, the value of the Turkish Lira also moved horizontally this morning after the limited decline experienced last night. As of early morning, the dollar / TL was valued at around 14.63-14.64, while the euro / TL was trading at 16.16.
Oil: Oil prices, which retreated to the level of 98 dollars yesterday, are on an upward course today. The rise in oil prices was also influenced by the announcement by the International Energy Agency (IEA) that markets may experience losses of close to 3 million barrels of Russian crude oil starting in April. The price of a barrel of Brent oil is trading at just under $100, up about 2 percent.
Gold: Gold prices, which were pulled to 1.910 dollars before the FED’s interest rate decision, rose to 1.935 dollars due to the realization of expectations after the decision. Gold was at similar levels this morning.
