Created
: 2025.06.19
- English
- English
- What's Myforex
- Share
- Use tools
- Get information
- What's New
- Help center
- About us
- Customer support
- Terms and policies
-
-
PortfolioShare your portfolio and performance in real time -
Events & contestsEvents and contests held by retail brokers around the world
-
-
Real-time spread comparisonCompare spreads of major retail brokers in real time -
Volatility analysisVisualize volatility as a measure of daily market activity -
Swap point comparisonCompare buy and sell swap values for each broker by symbol -
Market rates & chartsCheck prices for all instruments offered by each broker -
IndicatorsProviding in-house developed indicators for MT4/MT5 -
Trading calculatorsCalculation tools for each broker to help you trade
-
-
World FX newsLatest news on forex and cryptocurrencies from around the world -
Broker informationTrading information of retail brokers worldwide -
MetaTrader4/5 user guideUser guide collection for the latest MetaTrader4/5 -
Economic calendarRelease calendar for indicators from official sources of major economies
The CBRT keeps rates unchanged at 46.00%, as anticipated
World FX news
Breaking news
The CBRT keeps rates unchanged at 46.00%, as anticipated
New
2025.06.19 21:03
2025.06.19 21:03
2025.06.19 21:03
Turkey's central bank (CBRT) kept its One-Week Repo Rate at 46% on Thursday, matching the broad consensus. However, it also kept the top band of its rate corridor at 49% (Overnight Lending Rate), which was not what many had expected. The Overnight Borrowing Rate remained at 44.50%, in line with the forecast.
The CBRT said that inflation is likely to continue to fall, but growth is likely to slow down. The latest choice to take a relatively hawkish position on interest rates effectively extends a period of policy pause, laying the way for a possible resumption of rate decreases expected this summer.
The bank's policy committee said again what it has said before: that the restrictive monetary policy would stay in place until price stability is reached via a steady drop in inflation.
The CBRT also said it will carefully change the policy rate, looking at each meeting separately and putting the inflation forecast first.
Market Reaction
Following the CBRT's interest rate decision, the Turkish Lira (TRY) trades weaker, leading the USD/TRY to reach its highest level since mid-March, around 39.5500.
Inflation FAQs
Inflation measures the rise in the price of a representative basket of goods and services. Headline inflation is usually expressed as a percentage change on a month-on-month (MoM) and year-on-year (YoY) basis. Core inflation excludes more volatile elements such as food and fuel which can fluctuate because of geopolitical and seasonal factors. Core inflation is the figure economists focus on and is the level targeted by central banks, which are mandated to keep inflation at a manageable level, usually around 2%.
The Consumer Price Index (CPI) measures the change in prices of a basket of goods and services over a period of time. It is usually expressed as a percentage change on a month-on-month (MoM) and year-on-year (YoY) basis. Core CPI is the figure targeted by central banks as it excludes volatile food and fuel inputs. When Core CPI rises above 2% it usually results in higher interest rates and vice versa when it falls below 2%. Since higher interest rates are positive for a currency, higher inflation usually results in a stronger currency. The opposite is true when inflation falls.
Although it may seem counter-intuitive, high inflation in a country pushes up the value of its currency and vice versa for lower inflation. This is because the central bank will normally raise interest rates to combat the higher inflation, which attract more global capital inflows from investors looking for a lucrative place to park their money.
Formerly, Gold was the asset investors turned to in times of high inflation because it preserved its value, and whilst investors will often still buy Gold for its safe-haven properties in times of extreme market turmoil, this is not the case most of the time. This is because when inflation is high, central banks will put up interest rates to combat it. Higher interest rates are negative for Gold because they increase the opportunity-cost of holding Gold vis-a-vis an interest-bearing asset or placing the money in a cash deposit account. On the flipside, lower inflation tends to be positive for Gold as it brings interest rates down, making the bright metal a more viable investment alternative.
Last updated
: 2025.06.19
Related articles
GBP/USD stabilizes after BoE holds rates, geopolitical risks support Dollar
2025.06.20 00:29New Zealand: Growth finds its feet - Standard Chartered
2025.06.20 00:08GBP/JPY rises as BoE holds rates at 4.25% and BoJ maintains dovish stance
2025.06.19 22:36EUR/GBP retreats as BoE stays cautious, ECB easing widens policy gap
2025.06.19 22:01The CBRT keeps rates unchanged at 46.00%, as anticipated
2025.06.19 21:02Indian Rupee weakens amid Middle East tensions, Crude Oil price surge
2025.06.19 20:48
FXStreet is a forex information website, delivering market analysis and news articles 24/7.
It features a number of articles contributed by well-known analysts, in addition to the ones by its editorial team.
Founded in 2000 by Francesc Riverola, a Spanish economist, it has grown to become a world-renowned information website.
Was this article helpful?
We hope you find this article useful. Any comments or suggestions will be greatly appreciated.
We are also looking for writers with extensive experience in forex and crypto to join us.
please contact us at [email protected].
Thank you for your feedback.
Thank you for your feedback.
Most viewed
WTI Hits Multi-Month High Near $75.50 Amid Middle East Tensions
West Texas Intermediate (WTI) Crude Oil climbed above the $75.00 mark on Thursday, hitting its highest level since late January amid geopolitical tensions and tighter supply signals, fueling fresh buying.
New
2025.06.20 00:59GBP/USD stabilizes after BoE holds rates, geopolitical risks support Dollar
The Pound Sterling trades within familiar levels after hitting a four-week low of 1.3382, recovers, and posts gains of over 0.03% against the Dollar following the Bank of England's (BoE) decision to keep rates unchanged.
New
2025.06.20 00:29New Zealand: Growth finds its feet - Standard Chartered
Q1 GDP rose 0.8% q/q, slightly above our 0.7% forecast and stronger than the RBNZ's 0.4%. Services and manufacturing drove the gains, while construction stabilised after a year of contraction.
New
2025.06.20 00:08Silver retreats from multi-year peak as Fed pause and profit-taking cool rally
The Silver (XAG/USD) edges lower for the second consecutive day on Thursday, retreating from a fresh multi-year high of $37.32 touched on Wednesday, as traders lock in profits following the Federal Reserve's (Fed) cautious policy pause.
New
2025.06.19 23:42GBP/JPY rises as BoE holds rates at 4.25% and BoJ maintains dovish stance
The British Pound (GBP) is extending gains against the Japanese Yen (JPY) on Thursday after the Bank of England (BoE) held its benchmark interest rate at 4.25%.
New
2025.06.19 22:36EUR/GBP retreats as BoE stays cautious, ECB easing widens policy gap
The Euro (EUR) edges lower against the British Pound (GBP) on Thursday, snapping its recent winning streak after the Bank of England (BoE) held its key interest rate steady at 4.25% in its June policy meeting.
New
2025.06.19 22:01Gold steadies amid US involvement in the Israel-Iran conflict, cautious Fed
Gold (XAU/USD) is trading within a well-defined range on Thursday, holding between $3,340 and $3,400. These levels have consistently acted as near-term support and resistance over the past week.
New
2025.06.19 21:42The CBRT keeps rates unchanged at 46.00%, as anticipated
Turkey's central bank (CBRT) kept its One-Week Repo Rate at 46% on Thursday, matching the broad consensus.
New
2025.06.19 21:02Indian Rupee weakens amid Middle East tensions, Crude Oil price surge
The Indian Rupee (INR) extends its losing streak for a third consecutive day against the US Dollar (USD) on Wednesday, sliding to a three-month low as the escalating Middle East conflict fuels fresh supply worries and keeps Crude Oil prices elevated.
New
2025.06.19 20:48JPY soft and trading defensively - Scotiabank
The Japanese Yen (JPY) is soft, down 0.2% against the US Dollar (USD) but trading defensively and hitting fresh local lows as we head into Thursday's NA session, Scotiabank's Chief FX Strategists Shaun Osborne and Eric Theoret report.
New
2025.06.19 20:47Disclaimer:
All information and content provided on this website is provided for informational purposes only and is not intended to solicit any investment. Although all efforts are made in order to ensure that the information is correct, no guarantee is provided for the accuracy of any content on this website. Any decision made shall be the responsibility of the investor and Myforex does not take any responsibility whatsoever regarding the use of any information provided herein.
The content provided on this website belongs to Myforex and, where stated, the relevant licensors. All rights are reserved by Myforex and the relevant licensors, and no content of this website, whether in full or in part, shall be copied or displayed elsewhere without the explicit written permission of the relevant copyright holder. If you wish to use any part of the content provided on this website, please ensure that you contact Myforex.
Myforex uses cookies to improve the convenience and functionality of this website. This website may include cookies not only by us but also by third parties (advertisers, log analysts, etc.) for the purpose of tracking the activities of users. Cookie policy
