Turkey ETF Could Outperform as Early as Tomorrow

| About: iShares MSCI (TUR)

By Tim Seymour

We touched Turkey yesterday, so we should follow up on the call.

Turkey continues to underperform the emerging markets asset class on what we referred to yesterday as the major catalyst driving most emerging markets: interest rates.

In fact, the looming Turkish central bank meeting has some concerned that there may be more measures on the horizon to tame inflation and the current account deficit.

This wil be the first meeting with the bank’s new governor. Will he pound his fist on the table and push now for actual rate hikes in addition to reserve moves?

The bottom line is that with Western markets running higher, Turkey — and funds like TUR — should be running upward as well.

If tomorrow’s meeting is benign, there is room to see TUR outperform, as early as tomorrow.