USD/TL Rate Broke A Record on Tuesday

USD/TL rate broke a record on Tuesday. After exceeding the psychological 10 level in USD/TL exchange rate, the rise continues.

While the US dollar strengthened on the expectations that the FED will increase the dose of monetary tightening after the US inflation data, the USD/TL rate continued to rise on Tuesday. The heavy domestic debt calendar is also among the factors that increase the demand for USD. TL diverged negatively against the US dollar by 0.2 percent. As of 07:56, the USD/TL is trading at 10,0865. Turkish companies and the Treasury will pay 13 billion dollars of foreign debt in the last two months of the year. While 8 billion dollars of this figure was paid in November, the foreign debt to be paid in November stands out as the highest in the next 10 months. The expectation that the Central Bank of the Republic of Turkey will continue its easing steps on Thursday this week is also among the factors that create weakness in the TL. The 10-year US Treasury bond yield stands at 1.59%. While Turkey's credit default risk premium (CDS) is around 407 basis points, the 10-year benchmark bond rate hovers around 19.5 percent.