‘Interest’ clamp on economic management… Foreigners’ expectations are higher!

The report published today by JPMorgan, one of the leading banks in the USA, created a cold shower effect on the markets.

“Bond interest rates continue to rise, but we think further correction is required to transition to purchasing,” the bank report said.

The 10-year Treasury bond interest rate, which was at 7 percent before the election, rose to 29 percent, a record high.

However, according to JPMorgan, even this increase is not enough.

According to the news in Ekonomim, the report underlines that the fair interest value of 10-year TL-denominated Treasury bonds is 35.7 percent and that they will remain monitored until the interest rates reach this level.

DECREASED FROM 70 BILLION TO 1 BILLION

The steadily decreasing foreign interest in the last 10 years was also reflected in the bond stock.

While the bond stock held by foreigners was at the level of 70 billion dollars 10 years ago, today this figure has decreased to 1.1 billion dollars.

IT WAS EFFECTIVE IN THE ESCAPE OF FOREIGNERS

The sharp depreciation in TL and the artificial lowering of interest rates through direct and indirect interventions in the bond market were effective in the flight of foreigners.

It seems that the new economic management that came to power after the elections gradually removed the regulations that forced banks to buy bonds and increased bond interest rates, but it has not yet had the expected effect.