Cristian Maggio, Head of Emerging Markets Strategy at TD Securities, suggests that their overall assessment of the new Turkish cabinet composition is negative as it confirms their expectations that Erdogan is less concerned about reinstating policy orthodoxy than he is about consolidating his greatly expanded executive powers. Key Quotes “From a market standpoint, however, a more notable feature is the screaming absence of market-friendly profiles. TRY had briefly rallied in the previous days on the expectation that former deputy PM Mehmet Simsek and Ali Babacan (also deputy PM in a prior administration) would have been given a ministry or other prominent cabinet role. Neither has, and nor has Naci Agbal, previous finance plenipotentiary.” “We still see a chance that one or more of these well reputed names may appear in a subsequent set of appointments to other high seats in the state administration. Erdogan’s executive powers allow him to single handedly appoint the CBRT governor and deputy governors.” “Most importantly, there is increasing evidence that the central bank’s independence may already be compromised on Erdogan’s (likely to be successful) attempts to extend full control over it.” “Based on the observation of facts, we conclude that all Turkish governments led or supervised by Erdogan in the past several years have been informed to one overarching goal: growth at all costs.” “We think there is more of the same in store for Turkey. This policy remains structurally incompatible with low inflation rates, which is the leading cause of structural TRY depreciation.” “With reduced institutional checks and balances, diminished CBRT independence, and structurally high inflation, weaker TRY and higher rates seem unavoidable. We continue to forecast USDTRY at 6.10 by the end of 2019.” FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next China-US trade war has escalated – Nordea Markets FX Street 4 years Cristian Maggio, Head of Emerging Markets Strategy at TD Securities, suggests that their overall assessment of the new Turkish cabinet composition is negative as it confirms their expectations that Erdogan is less concerned about reinstating policy orthodoxy than he is about consolidating his greatly expanded executive powers. Key Quotes "From a market standpoint, however, a more notable feature is the screaming absence of market-friendly profiles. TRY had briefly rallied in the previous days on the expectation that former deputy PM Mehmet Simsek and Ali Babacan (also deputy PM in a prior administration) would have been given a ministry or other… Regulated Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.