* Easing cycle in Turkey unlikely until end of 2021 - analyst * Polish zloty falls after media bill * China looks into online insurance sector amid business crackdown * EM stocks fall as virus, China regulation worries weigh (Updates after Turkish central bank decision) Aug 12 (Reuters) - Turkey’s lira hit session highs on Thursday after the central bank kept the key interest rate unchanged, resisting pressure to cut rates from the country’s president. Turkey’s one-week repo rate was left at 19%, as expected, and the central bank said it would maintain a tight stance until inflation falls significantly. Consumer prices rose to 18.95% last month. The lira jumped 1.2% against the dollar, rising from one-month lows hit last session. “Investors probably breathed a sigh of relief that, for now at least, the central bank has shrugged off President (Tayyip) Erdogan’s calls for interest rate cuts,” said Jason Tuvey, senior emerging markets economist at Capital Economics. “With inflation likely to remain elevated over the coming months and the economy having bounced back quickly from May’s lockdown, an easing cycle is unlikely to commence until the tail end of 2021.” The lira is the worst performing EM currency so far this year, down 13%, largely in response to Erdogan’s interference in monetary policy with the ouster of a hawkish central bank chief earlier in the year dealing a major blow. Most other EM peers also rallied on Thursday as tame U.S. inflation figures calmed fears about sooner-than-expected tapering of stimulus by the Federal Reserve. This put an index of EM currencies on course to snap a four-session losing streak. Massive stimulus from major central banks has helped inflows into emerging market assets through the pandemic. The Chinese yuan made minor gains as markets speculated over whether the fall in new bank loans to nine-month lows warranted an easing in monetary policy. The polish zloty, meanwhile, fell 0.14% to extend losses to a third straight session. Lawmakers advanced a bill on Wednesday that the opposition in Warsaw says aims to silence a U.S.-owned news channel critical of the government, leading to a swift denunciation from the United States. South Africa’s rand also bucked the trend, down 0.2%. The outlook for the currency has turned cautious following protests and as a new finance minister attempts to revive the economy. Emerging market stocks stayed in the red, weighed down as Chinese shares slipped under the impact of rising COVID-19 cases and scrutiny on the online insurance sector - the latest in a series of crackdowns. Turkish stocks jumped 1.8% on the tentative sign of central bank independence. For GRAPHIC on emerging market FX performance in 2021, see tmsnrt.rs/2egbfVh For GRAPHIC on MSCI emerging index performance in 2021, see tmsnrt.rs/2OusNdX For TOP NEWS across emerging markets For CENTRAL EUROPE market report, see For TURKISH market report, see For RUSSIAN market report, see