The value loss in Turkish Lira scares! The dollar, which was at a level of 5.96 a week ago, started to go downhill when the YSK canceled the elections in Istanbul.
Dollar, which increased by 30 cents a week, climbed up to 6.25 yesterday. The euro, which was 6.68 last week, went up to 7 pounds yesterday. The depreciation of TL reached 17 percent in the first 5 months.
The revaluation of the Istanbul elections, the revival of relations with the US and the revival of the possibility of trade wars on the global scale and the optimism of the lost dollar, the dollar and the euro due to the reasons such as the demand of the residents of the residents, cause the TL to lose their value. The dollar, which was at the level of 5.96 a week ago, reached 6.25 yesterday; The euro, which gained 30 cents a week, climbed up to 7 lira.
For the first time since 11 October 2018, Eurozone exceeded 7 pounds and tested 7,0041. The dollar rate rose to 6,2453 yesterday and saw its highest since September 24. Borsa İstanbul's BIST 100 index decreased by 1.5 percent to 88 thousand 800 points in line with the deteriorated risk appetite and losses in the global markets. Having experienced a devaluation of 30 percent in 2018, TL continued to melt this year. In the first 5 months of the year, the depreciation of TL was 17 percent.
Central Bank of the Republic of Turkey (CBRT), the press announcement made on Turkish Lira Liquidity Management, "taking into account the developments in financial markets, it was decided to give a break during the 1-week repo auction" was given in the statements. Analysts reminded that the Central Bank has suspended a one-week repo auctions for a period of time. With this decision, analysts stated that the weighted average funding cost could be gradually increased by 25.50% and thus, the volatility in the exchange rate was expected to decrease. The reflection of the Central Bank to the dollar exchange rate was as low as 2-3 cents. The dollar approached 6.25 and was rebalanced above 6.23 after a slight decrease.