Turkey is facing with itself for couple of weeks and it seems this hard period tends to continue.
There are some fundamental reasons for this weakness; especially political risks and Central Bank issues.
There is an election in Turkey in June'15 and government increases the pressure over the Central bank to reduce the interest rates, before the election. But the Central bank resists this political pressure because of high inflation. This conflict resulted higher risk premium for Turkish Financial Markets.
Market needs to see a clearer picture for an upward movement hereafter.
There is a rough road to $40 level. For below $40, I think this is another story.
There are some fundamental reasons for this weakness; especially political risks and Central Bank issues.
There is an election in Turkey in June'15 and government increases the pressure over the Central bank to reduce the interest rates, before the election. But the Central bank resists this political pressure because of high inflation. This conflict resulted higher risk premium for Turkish Financial Markets.
Market needs to see a clearer picture for an upward movement hereafter.
There is a rough road to $40 level. For below $40, I think this is another story.