USD/TRY cautious in the medium/long term – Danske Bank

Analysts at Danske Bank keep the cautious approach on USD/TRY, seeing it higher near 3.80 in a 6-month’s view.

Key Quotes

“We see good prospects for the TRY in the short term supported by encouraging macro fundamentals and attractive carry, while staying more cautious in the medium to long term”.

“Surprise easing by the Turkish central bank on political pressure and improving macro is further downside risk to our TRY forecasts”.

“We roll our USD/TRY forecasts as follows: 3.60 in 1M, 3.65 in 3M, 3.80 in 6M, and12M view at 4.00”.