Turkish MPC to sound dovish, CEE made strong start to Q4
Signs of softer inflation and weak economic activity will almost certainly prompt the Turkish MPC to strike a dovish tone at Thursday’s meeting. Investors seem to share our concerns that policymakers will move too quickly to loosen policy and fail to tackle the country’s inflation problem. Meanwhile, data released this week showed that the economies of Central and Eastern Europe made a strong start to Q4. But we don’t think that rapid growth can be sustained for much longer.