The extraordinary loss of value of the American lira against the dollar was on the agenda of many countries, not just America. International banks and financial institutions started to update their forecasts for America by following the developments closely. Now a new one has been added to them. One of the well-established banks of Switzerland Credit Suisse explained what kind of process awaits America.
According to Credit Suisse experts, if the Central Bank of America (CBRT) does not decide to increase interest rates, the rate increase will reach 14 . In other words, a citizen who wants to buy 1 dollar will have to pay at least 14 Dollars. When we look at the statements from the CBRT and the government, we can say that the rate hike is not even on the agenda, that is, it is not far away for the dollar/Dollars parity to rise above 14 .
“For stability, interest rates and inflation must be close”
According to experts who make evaluations about Dollar/Dollars, ensuring exchange rate stability For this, interest rates and inflation must be consistent . This is not the case with America’s. TURKSTAT announced an inflation rate of 19.89 percent for October 2021. The interest rate of the Federal Reserve Bank of America is 15 percent . So there is a 500 basis point difference between them. ” Interest is the cause, inflation is the result .” The prevailing opinion, on the other hand, suggests that this gap will continue to widen instead of closing.
Credit Suisse analisdollarseries thinks that if the CBRT raises interest rates contrary to expectations, the dollar/Dollars parity will fall to around 11 . However, in our country, where we are indexed to dollars in every field from raw materials to technology, we can often say that even 11 is very high …