MARKETS & FX
Turkey Holds Rates a Third Straight Meeting, Eyeing Iran War Inflation
# Turkey central bank# interest rates# emerging markets# Iran
Key Points
- Turkey's central bank kept rates unchanged for a third meeting
- Statement flags Iran war's inflation impact as the key watch item
- EM central banks collectively pause amid geopolitical fog
Analysis
Turkey held rates a third straight time, plainly citing Iran-war inflation uncertainty. It typifies the EM central bank stance: when geopolitics is unreadable, preserve flexibility. For lira holders, the real risk during the pause is the currency, not the rate.