Carry trade seen helping lira but Turkish rate outlook uncertain

Carry trade seen helping lira but Turkish rate outlook uncertain

Lower interest rates expected Lira yields are high Central bank to meet in October The Turkish currency is likely to benefit from short-term carry trade inflows as high interest rates on lira assets draw hot money, but the medium-term rate outlook is uncertain, analysts say. Hot money is currency that moves quickly and frequently between financial markets. The carry trade involves borrowing currency in low-yield foreign economies to convert into…