Market update No. 39-2018 – Türkische Sultaninen

2018-07-11 | For the coming crop we expect a very early harvest / cutting in Turkey beginning of August 2018. As a result we might see some early bird shipments mid of August 2018 with arrival beginning of September 2018.

The Turkish economy is suffering from his very weak currency Turkish Lira and significant inflation in combination with high central bank interest rates. The Turkish Lira lost in value against the USD and EURO with about 20% in 6 months and inflation is on a 14 years high with 15%. Central bank interest rate is 8% and we expecting a further increase during next “open market committee “- meeting on 24 July 2018. At the same time president Erdogan is trying to influence the central bank in order to decrease the interest rates which is harming the fiscal neutrality. Markets are very nervous!