USD/TRY profit taking on 'failed' coup in Turkey

USD/TRY rallied strongly during the end of US sessions activity on the back of the attempted military coup in Turkey.

USD/TRY shot up from 2.8913 to 3.0461 on the news. However, Turkey's government reasserted control albeit only after 260 people being reported dead. Mass arrests have been carried out with the number of people involved and detained has been reported in the region of 6,000. The deputy Prime minister, Simsek has been reported to have spoken to the Central Bank's governor Cetinkaya who is said to have the bank ready to provide unlimited liquidity to commercial lenders to try and normalise the financial system again. 

USD/TRY has sold back to below 2.9600 although remains vulnerable with a bias to the upside on both a strong close for the US dollar last week and uncertainties over the developments in Turkey. From a daily perspective between November 2015 to date, USD/TRY remains within a wide range between 2.8000 and 3.0744.