The market remained weak, weighed down by yen-buying reversals and rising crude oil prices.

Outlook for the week of July 27–31: The Turkish lira is expected to trade weak against the Japanese yen, weighed down by yen-buying interventions and rising crude oil prices. Amid heightened market vigilance over potential Japanese foreign exchange intervention, the lira—being an emerging-market currency—is prone to selling pressure against the yen whenever the yen rebounds. Additionally, upward pressure on inflation stemming from higher energy prices poses further downside risk for the lira. Although the elevated policy rate of 37% provides some support, the currency is likely to face persistent upside resistance.

Fisco JapanJul 26 08:42

The market may remain weak, with movements in crude oil prices serving as a key factor to watch.

Outlook for the week of April 6–10: The Turkish lira-JPY exchange rate is likely to remain weak, influenced by movements in crude oil prices. Trading will primarily focus on fluctuations in crude oil prices. Prolonged Middle East conflicts are raising concerns, keeping oil prices at elevated levels. Excessive rises in crude oil prices could pressure the domestic economy, worsening the current account balance and driving interest rates higher. If crude oil prices remain firm, the Turkish lira’s performance against the yen may remain lackluster.

Fisco JapanApr 5 05:51

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In the foreign exchange market, where daily trading volume reaches $9.5 trillion, carry trades—one of the most widely used strategies—are gaining momentum due to surging oil prices and, in some cases, are delivering the best returns in three years.

Zhitong FinanceMar 17 21:40

Trading remained range-bound amid growing concerns over Japan's deteriorating fiscal conditions.

Outlook for the week of February 9–13: The Turkish lira-Japanese yen pair may remain range-bound, with trading likely to continue reflecting concerns over Japan's deteriorating fiscal conditions. Last week saw yen selling based on expectations of a ruling party victory in the general election; however, concerns about worsening fiscal health have not dissipated. If Prime Minister Koichi Hachisuka's continuation in office is confirmed following the general election results, concerns over fiscal expansion could intensify again, potentially keeping lira selling and yen buying somewhat in check.

Fisco JapanFeb 8 11:13

Turkey's Central Bank Cuts Policy Rate by 100bps to 37.0%, Less Than Expected

MT NewswiresJan 22 21:58

Turkey's Central Bank Cuts Policy Rate by 150bps to 38.0% on Lower Inflation

MT NewswiresDec 11, 2025 20:29