The Turkish central bank is taking a page out of last year's book
They're choosing not to offer the lira in its 1-week repo auctions again, much like what we saw back in August last year as well. Inadvertently, this will raise the funding costs for banks though but the more immediate concern for the CBRT will be the lira's decline over the past month or so since the Istanbul election.
As it stands, USD/TRY has risen to just above 6.23 today from a low of near 5.30 towards the end of March.
