USD/TRY off highs, around 2.95 on CPI

The Turkish Lira is regaining some momentum vs. the greenback today, taking USD/TRY to the boundaries of the 2.95 handle after dropping to the area of 2.9550.

USD/TRY higher post-CPI

The pair has faded the initial spike to the mid-2.95s after inflation figures in Turkey have come in below expectations during May, with consumer prices advancing 0.58% on a monthly basis (vs. 0.78% exp.) and 6.58% over the last twelve months (vs. 6.9% exp.).

Further data saw Producer Prices ticking higher to 1.48% MoM and 3.25% YoY during the same period.

In the meantime the pair is advancing for the second session in a row today and extending the bounce off recent lows in the vicinity of the 2.92 handle.

USD/TRY key levels

At the moment the pair is advancing 0.07% at 2.9507 facing the immediate hurdle at

2.9596 (20-day sma) followed by 2.9788 (high May 4) and then 3.0145 (high May 24). On the downside, a break below 2.9277 (20-day sma) would pave the way for a test of 2.9220 (low May 26) and finally 2.9129 (100-day sma).