Arqaam Capital’s Rizk on Turkey’s Central Bank Governor, Interest Rates, Saudi Arabia

The video discusses the carry trade market, focusing on Turkey's economic situation and President Erdogan's theory that lower rates lead to lower inflation. It examines the potential impact of rate cuts on the lira and real rate, highlighting the Central Bank's lack of independence. The discussion shifts to Saudi Arabia, exploring its economic performance, geopolitical factors, and the influence of oil and OPEC on its fiscal position.

What is President Erdogan's theory regarding interest rates and inflation?

• Higher rates lead to higher inflation

• Lower rates lead to lower inflation

• Lower rates have no effect on inflation

• Higher rates lead to lower inflation

What is a potential risk of aggressive rate cuts in Turkey?

• Strengthening of the lira

• Increased foreign investment

• Pressure on the lira

• Stability in the credit market

What is one factor that influences Saudi Arabia's economic performance?

• Tourism

• Oil prices

• Agriculture

• Technology exports

How does the inclusion in the index affect Saudi Arabia?

• Increases demand

• Has no effect

• Decreases demand

• Reduces oil prices

What geopolitical factor could help Saudi Arabia's economic position?

• A new trade agreement with China

• A rise in global oil prices

• The Iran deal

• Increased tourism from Europe