Turkish lira hits yet another historic low against US dollar amid trade war, risks
The Turkish Lira fell to yet another historic low against the United States dollar on the morning of April 6, amid worries over a trade war and a series of geopolitical and economic risks.
The value of the lira fell to 4.0664 against the dollar with the latest shift and was reported at 4.9776 against the euro, also coming close to a record.
Early on April 5, the lira was at 4.0386 against the dollar and 4.9637 against the euro.
The loss in the Turkish currency’s value came after China’s plans to impose tariffs on more than 100 different American products with a trading value of over $50 billion, swiftly firing back at the U.S. hours after the Donald Trump administration made similar proposals.
The latest weakening trend also came one day after official data showed the country’s annual inflation rate was still above 10 percent.
According to analysts, Turkey’s high inflation and current account deficit, as well as an escalation in its geopolitical risks, have played a key role in pushing down the lira’s value.