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over USD/TRY. So it may take more pressure for the lira to weaken
further”
● “The Iran waiver was a known thing. The market had more than
enough time to price in this event. That said, I think the lira will suffer from this event at the margin of an already deprecatory trajectory”
Piotr Matys, a London-based analyst at Rabobank
● “Turkey could very soon find itself in a difficult position at the time when inflation remains stubbornly high close to 20 percent. Iranian oil could be the source of another diplomatic spat between Ankara and Washington, when the relationship is already tense due to Turkey’s insistence on buying Russian missile-defence system”
An increase in political tension would “expose the 6.00/USD level” as the next potential target. October’s top of 6.2282 would be next.
72 TURKEY Country Report May 2019 www.intellinews.com
