USD/TRY jumps to all-time highs around 3.60

The selling pressure around the Turkish Lira has accelerated on Tuesday, lifting USD/TRY to fresh historical tops just above the 3.60 handle.

USD/TRY higher post-CPI, geopolitical risks

TRY remains in centre stage following the attack at a nightclub in Istanbul over the weekend, recently claimed by the IS.

The shooting adds to the already fragile situation in the country, which has faced in past months a coup attempt, bomb blasts and the persisting conflict between the government and PKK rebels.

Data wise in Turkey, inflation figures measured by the CPI rose at an annualized 8.53% and 1.64% on a monthly basis, both prints surpassing previous estimates.

Adding to the upside, the greenback remains on a firm fashion both vs. the EM FX space and its G10 peers, all ahead of the key ISM Manufacturing for the month of December due later in the NA session.

USD/TRY key levels

At the moment the pair is up 1.17% at 3.5865 facing the next hurdle at today’s fresh historical tops at 3.6001. On the other hand, the next support lines up at 3.5164 (20-day sma) followed by 3.3612 (55-day sma) and then 3.3370 (low Dec.8).