German Bank: Turkish Lira faces further sell-off due to political concerns.

Tatha Ghose of Deutsche Bank said in a report that due to new political concerns, the depreciation trend of the Turkish lira is expected to continue in the coming days. A court in Turkey ruled on Thursday to dismiss main opposition leader Ozgur Ozel, strengthening President Recep Tayyip Erdogan's control over power. Ghose stated that the difficulty for the Turkish central bank to slow down the depreciation of the lira through intervention may increase. He suggested that considering the risk of inflation, the best way to defend against the weakening lira would be to raise interest rates, but this is doubtful. Erdogan has been pressuring the central bank to lower interest rates. Data from the London Stock Exchange Group shows that the dollar rose by 0.4% to 45.7299, reaching a historical high of 45.7789 earlier.