Turkish lira (TRY) Market Update, Forecast & Key Drivers

TRY Market Update

25 May 2026 • 00:31 GMT

TRY/USD 0.021866

The Turkish lira continues to weaken against the US dollar, trading near its 90-day lows at around 0.021866. This marks a decline of about 2.2% below its average over the past three months. Recent market activity shows the TRY/USD pair has been relatively stable within a narrow range but remains sensitive to broader dollar strength.

The US dollar has benefited from a stronger market mood, driven by positive US economic data and rising expectations for further Federal Reserve rate hikes. This has contributed to the dollar's upward momentum and the lira's depreciation against the greenback.

In Turkey, monetary policy measures, including a recent interest rate hike to 45%, aim to curb inflation and support the currency. However, ongoing geopolitical uncertainties and global risk aversion continue to weigh on the TRY. The lira's decline mirrors similar weakness seen against other major currencies like the euro and yen, which are also trading near their recent lows against the dollar.

While the TRY has been relatively steady in recent weeks, the persistent US dollar strength suggests further downside risk if global risk sentiment remains cautious. Keep an eye on US inflation and Fed policy signals for potential impacts on the dollar and, consequently, the TRY.