Trading at the highest level in four months against the dollar, the euro hit new records against the Turkish lira at 39.43.

While there is still an upward movement in exchange rates, the strong performance of the euro continues.

The euro gained nearly 5% against the dollar this week. The euro/dollar pair reached its highest level in four months at 1.07.

The rise of the euro also became prominent against the Turkish lira. The euro/TL traded at 39.46 with a 0.3% increase today. The dollar/TL, on the other hand, changed hands at 36.43. The decline in the dollar’s performance and the agreement among political parties in Germany on a 500 billion euro plan were effective in the euro’s performance.

The tariff decisions of the Trump administration in the US have intensified fears of a trade war. The dollar index fell to 104 levels, hitting its lowest level since November 2024. The decline in the index exceeded 3% this week. Political parties in Germany meeting to form a coalition agreed to relax the borrowing limit to establish a 500 billion euro infrastructure fund and increase military spending. Additionally, European Commission President Ursula von der Leyen announced that new plans to strengthen the EU’s defense industry could mobilize around 800 billion euros. Interest rate decisions will be monitored Tomorrow. All eyes in domestic markets are turned to the Central Bank’s interest rate decision to be announced tomorrow. It is highly likely that the Central Bank of the Republic of Turkey will reduce interest rates following lower-than-expected inflation. The Central Bank’s policy rate is expected to be reduced from 45% to 42.5%. Global markets will also be watching the interest rate decision of the European Central Bank. It is expected that the ECB will reduce its interest rate from 2.90% to 2.65%.