USD/TRY climbs to fresh all-time highs around 28.1500

The Turkish currency depreciates to record lows vs. the greenback.
The CBR hiked rates by 500 bps at its event on Thursday.
The bank keeps the inflation target at 5.00%.

Pablo Piovano FXStreet

Further selling pressure hurts the Turkish lira and lifts USD/TRY to a new all-time high around 28.1500 on Thursday.

USD/TRY accelerates the move higher despite the CBRT hike

USD/TRY extends its advance and looks to consolidate the recent breakout of the 28.00 hurdle despite the fact that the Turkish central bank (CBRT) raised the One-Week Repo Rate by 500 bps to 35.00% (from 30.00%), matching the broad consensus.

That said, the central bank raised its key policy rate by 500 bps for the second consecutive meeting, while the lira has already depreciated more than 28% vs. the US dollar since January.

The central bank justified its decision to extend the tightening cycle in light of still-highly elevated inflation and potential upside risks stemming from higher crude oil prices and geopolitical concerns.

In addition, the CBRT maintains its inflation target at 5.00% in the medium term and stands ready to further tighten its monetary conditions accordingly.

USD/TRY key levels

So far, the pair is gaining 0.35% to 28.1440 and faces the next up-barrier at 28.1551 (all-time high October 26) ahead of 29.0000 (round level). On the downside, a break below 27.2064 (55-day SMA) would expose 26.5841 (100-day SMA) and finally 25.2143 (monthly low August 24).

(This story was corrected on October 26 at 12:13 GMT to say that USD/TRY climbs to fresh all-time highs.)

Author

Pablo Piovano

FXStreet

Born and bred in Argentina, Pablo has been carrying on with his passion for FX markets and trading since his first college years.

AUD/USD falls to near 0.7100 after slipping below 50-day EMA

AUD/USD depreciates after registering minor gains in the previous day, trading around 0.7120 during the Asian hours. The technical analysis of the daily chart shows the pair consolidating sideways within a rectangle pattern, as neither bulls nor bears gain control. The AUD/USD pair is holding a slight bearish tone however as it sits beneath both the nine-day and 50-day EMAs.

160.00: USD/JPY back near intervention territory after upbeat US jobs report

US Nonfarm Payrolls beat expectations by a wide margin in May, with 172K jobs added. The US Dollar rebounds after the release, helping USD/JPY recover from its intraday lows. Warnings from Japanese authorities continue to limit upside potential near the 160.00 threshold.

Gold weakens to three-month lows near $4,300

Gold faces increasing selling interest and approaches the area of three-month lows near the $4,300 mark per troy ounce on Friday. The precious metal’s decline comes as traders assess the stronger-than-expected NFP, while the bid bias in the Greenback and higher US Treasury yields also collaborate with the retracement.

Cardano hits five-year low even as Hoskinson clarifies "break" isn't an exit

Cardano (ADA) price is down 10% at press time on Friday, extending losses over 30% so far this week amid Charles Hoskinson's clarification that "break" isn't an exit.

Week ahead – Fed countdown begins amid US inflation data and geopolitical risks

Fed Chair Warsh’s first meeting approaches as key US inflation data could reshape expectations. Oil prices remain elevated as US-Iran talks continue; tariffs also return to the spotlight. ECB is expected to hike; will it be a one-off move or is July live?

The US economy defies the rules: 100 days into the Oil shock and the recession signal is still missing

More than three months after the start of the Iran war and the resulting disruption to global energy markets, the US economy continues to display remarkable resilience. The conflict has triggered a sharp rise in Oil prices, reignited inflationary pressures and fueled widespread concerns about a potential economic slowdown.