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8.00 Holds For Now; Erdogan Speech In Focus

TURKEY
  • local & USD rates Unch this morning following a move higher in yields across the curve yesterday - but may look to open lower in line with USD/TRY on improved global risk sentiment.
  • USD/TRY pushes back against the 8.00 level to return to the 50dma.
  • With limited local data on the schedule, USD/TRY should remain sensitive to global risk developments.
  • Markets will watch Erdogan's address to AKP party members in Ankera (around 9-10am GMT) closely for more comments on the economy.
  • 1w vols continue to tick higher alongside risk reversals but remain at low levels. A close below the 50dma at 7.9085 should put USD/TRY back into the channel formation between the 50 & 100dma at 7.54.
  • Immediate support at 7.90, and 7.865-7.85.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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