The Turkish central bank increased the late liquidity window by 75 bps late on Thursday, and announced it would flow through to higher funding costs Friday morning. After the lira saw gains of 4.2% in three days, the latest developments will only support the rally, as yields jump to over 11%.
Turkish lira banknotes. Photo: AFP/Ozan Kose
Turkish lira continues rally as central bank tightens
The currency led EMs this week and gets another boost from higher yields