US Dollar and Euro renew records as political developments increase pressure on rates
Experts say the impact of news that Turkey will test the S-400s is putting pressure on the exchange rates. The US dollar has beaten the 7.94 rate and the euro has exceeded 9.34 renewing records. Down below are some technical analysis comments on the markets. (08.10.2020 10:00)
Foreign exchange rates continue to break records due to geopolitical developments. News that Turkey will test S-400 missiles, tensions between Armenia and Azerbaijan and tensions in the Eastern Mediterranean is putting pressure on currency rates. Rates have broken historical records once again, dollar/TL surpassing 7.94 and the euro / TL, 9.34.
On the other hand, two senators in the United States, one Republican and one Democrat have called on President Donald Trump’s administration to impose sanctions on Turkey for buying S-400 air defense systems.
James Lankford of the Republican Party and Chris Van Hollen of the Democratic Party asked Secretary of State Mike Pompeo about the news that Turkey would test the S-400s, and he criticized that Turkey had “found courage” from the U.S. indecision.
US President Donald Trump, who decided to withdraw from negotiations with congress over a package to support the new economy, backed down yesterday. Trump has called on congress to draft a series of small-scale aid packages that will support sectors, small businesses and consumers heavily damaged by the corona virus. Trump’s change of attitude has bolstered his appetite for risk.
