Turkish lira sees modest gain as dollar begins trading at 32.1520

The Turkish lira opened with a slight gain against the dollar, trading at 32.1520, following yesterday’s downward trend

The Turkish lira commenced trading with a value increase, starting at 32.1520, after experiencing a downward trend yesterday, closing at 32.0384, marking a 0.6% decrease.

At 10 a.m. on Friday, the dollar rose 0.4%, trading at 32.1520, after opening with a value gain.

Concurrently, the euro traded at 34.8740 with a 0.1% increase, while the British pound traded at 40.6480 with a 0.1% decrease.

Meanwhile, the dollar Index currently stands at 104.2, registering a 0.2% increase.

The Central Bank of the Republic of Türkiye increased its policy interest rate in the one-week repo auction by 500 basis points to 50% yesterday. The Bank of England maintained its interest rate at 5.25%. Conversely, the Swiss National Bank (SNB) surprisingly lowered its policy rate by 25 basis points to 1.50%.

Analysts noted concerns that the SNB’s move might prompt the U.S. Federal Reserve (Fed) to commence interest rate cuts later than other major central banks, strengthening the dollar. They highlighted that following the SNB’s rate cut, the dollar index rose approximately 1% to 104.2 on Thursday.

Analysts pointed out that today’s focus is on Fed Chairman Jerome Powell’s speech, expecting his remarks to influence asset prices.

In terms of technical analysis, analysts indicated that 104 and 103 points serve as support levels for the dollar index, while 105 and 106 points represent resistance levels.

The international community will be closely watching the Ifo Business Climate Index, a key indicator of German business sentiment, on Friday.

Source: Newsroom