Following the announcement of US inflation, finance analyst İslam Memiş wrote in his article for TV100, “US Consumer Prices (CPI) increased by 0.2 percent in July compared to the previous month. Market expectations were for CPI to increase by 0.2 percent during this period. CPI increased by 2.9 percent on an annual basis in July. Market expectations were at 3.0 percent. In other words, it was announced in line with market expectations on a monthly basis and below market expectations on an annual basis.”
Memiş’s article on the impact of US inflation on the markets and his comments on the dollar, stock market, gold and silver published on YouTube are as follows:
“It is now considered certain that the Fed will cut interest rates as of September. So, will the Central Bank of the Republic of Turkey (CBRT) make any changes to interest rates this year?
As I have often stated before, I expect the CBRT to cut interest rates by 250bp in November and 250bp in December. I also expect other developed and developing countries to start the interest rate reduction process. We can see the 3rd and 4th quarters of the year as periods when central banks will cut interest rates.
What will happen when central banks reduce interest rates?
From my point of view, nothing will change. The world and its economies are not going anywhere good. Playing with interest rates does not mean RELIEF. When interest rates decrease, assets against the dollar gain value, the dollar index drops below 100. Those with deposit interest may be upset. Credit taps may open, housing prices may rise against demand. Naturally, rent prices may not decrease.
There are significant risks and uncertainties!
For example; Regional wars
US elections
Global climate change
Let the wars end, let’s relax
Let the US elections be concluded smoothly and we can relax
Let global warming end, mass migration and food inflation not increase, let’s relax
I think it would be beneficial to be ready for interest rate cuts now.
One should not be assertive in explanations.
When conditions change, decisions change too.
People around the world want and expect interest rates to fall.
They will fulfill the wishes of the people of the world.
EXCHANGE
BIST 100 index is at 9 thousand 865 points. There is a loss of 0.545 points. I said that the 9 thousand 850-10 thousand 200 points range will be followed specifically this week. On the stock exchange side, we continue to wait.
