Turkish lira falls on central bank sacking, yen and dollar rise

22.03.2021 - Kulakov Vladimir
Turkish lira falls on central bank sacking, yen and dollar rise

The Turkish lira dropped towards a record low against the dollar after President Erdogan stunned investors by replacing the central bank governor with a critic of high interest rates.

The yen climbed versus the euro, kiwi, and Aussie on speculation that Japanese investors buying lira for its high interest rates will close out their positions.

The Turkish lira traded 11% lower, at 8.0990 against the dollar in Asian trade. At one point, the lira dropped almost 14% to 8.4850, near a record low of 8.5800. 

The yen rose against the euro, the Aussie, and the kiwi, lifted by hopes that Japanese retail investors who lost money on the lira will unwind other cross yen trades.

The dollar steadied at 108.87 on the yen but rose to $1.3823 against the pound. The euro fell to $1.1887.

In onshore trade, the yuan stood at $6.5108 after China maintained its benchmark lending rate for corporate and household loans.

The Aussie dropped to $0.7718, while the kiwi stood at $0.7148.

Risk disclaimer "PROMETHEUS LTD – Trust Company Complex, Ajeltake Road, Ajeltake Island, Majuro, Republic of the Marshall Islands MH96960 is a financial services institution outside the European Union Area, which is subject to the supervision of the IFMRRC Certificate 0395 AA V0155 Trading in Forex/ CFDs and Other Derivatives is highly speculative and carries a high level of risk. It is possible to lose all your capital. 70% of trading deals can be unprofitable. These products may not be suitable for everyone and you should ensure that you understand the risks involved. Seek independent advice if necessary. Speculate only with funds that you can afford to lose. This Website may contain information in particular regarding financial services and products that could be regarded b a E.U. supervisory authority as an offer of financial services targeted in Europe. ESMA intervention measures do not apply to customers of PROMETHEUS LTD and it is your responsibility to choose a company which is most suitable for your trading needs. By clicking continue you confirm that you have read, understood and agree to the risk disclosures, terms of service, cash policies, privacy policies and this notice and that you are visiting this website on your own initiative, without any encouragement whatsoever from umarkets.ai or PROMETHEUS LTD." Cookies notification: We use cookies to ensure that we give you the best experience on our website. If you continue to use this site we assume that you are happy with it. Read more. Continue
×

Help with deposit?