Financial Times says Biden expectations has negative effect on Turkish Lira & Russian Ruble

Britain’s Financial Times newspaper has written that the currencies of developing countries, especially China, Mexico and South Korea, have gained significantly in the last two months in anticipation of Biden’s election, but the TL and Russian ruble have remained out of this rally.

As the US presidential election approaches, the poll results are affecting the currencies of developing countries such as Turkey. The British Financial Times newspaper noted that the expectation that Joe Biden will be elected affects the TL and Russian ruble negatively and these move in opposite directions with emerging country currencies.

Biden is expected to pursue a softer policy towards China and tougher policy towards Turkey and Russia compared to Trump, the FT wrote.

FT indicated that the expectation Biden will be elected and the senate will have democratic majority increased the prospects of the fiscal stimulus package, and it also boosted demand for riskier assets in developing country markets.