Prof. Dr. Erhan Aslanoğlu: Panic in the market is the biggest risk
An expert evaluated the turmoil in capital markets, artificial intelligence risks, and the impacts of technology giants' borrowing.
Prof. Dr. Erhan Aslanoğlu evaluated fund movements in capital markets, risks in the field of artificial intelligence, and the reflections of US tech companies' borrowing tendencies on global interest rates, issuing important warnings.
Emphasis on Panic and Trust in Markets
Evaluating fund turbulence in capital markets, Prof. Dr. Aslanoğlu stated that the steps taken were correct, but he wished they could have been taken in a timely manner.
Pointing out that even the world's most powerful financial institutions would struggle alone with intense capital outflows, it was emphasized that panic is the most dangerous element in financial markets.
Role of Regulatory Authorities and Transparency
It was stated that for the re-establishment of trust and liquidity in the market, it is of vital importance for regulatory and supervisory institutions to be transparent, in continuous communication, and to show quick reflexes.
Stating that there should not be excessive return differences in the same macroeconomic environment and in similar investment tools, attention was drawn to strong audit mechanisms.
Risks in Artificial Intelligence Technology
It was pointed out that rapid developments in artificial intelligence technology have been implemented much earlier than anticipated and harbor serious risks.
It was conveyed that this technology must remain under human control, pass through the filter of conscience, and be used in a way that spreads equality of opportunity.
Borrowing Trend of Technology Giants
It was reminded that US technology companies have resorted to large-scale borrowing in order to stay ahead in competition with China.
It was stated that tech giants create cash demand even exceeding that of the US government by issuing bonds and bills, creating an inflationary factor globally.
Effects on the Turkish Economy and Future Expectations
It was stated that this picture creates a negative environment in the short term for the Turkish economy in terms of borrowing costs, capital outflows, and external financing.
It was expressed that in the medium term, if inflation falls, central banks could return to a rate-cut cycle and the negative effects could disappear.