Markets rattled as Turkish lira dives to record lows

Turkey Finance Minister Berat Albayrak

With inflation expected to run above 20%, a current account deficit that continues to widen, bond yields trading at record highs and growing political tensions with the USA, the Turkish administration have limited choices to stop the Lira from bleeding.

On Monday, the central bank announced a series of measures to "provide all the liquidity the banks need" - but offered no hint of a rate increase.

Angered by the continued detention of an American pastor, the USA has imposed new sanctions on Turkey which Foreign Minister Heiko Maas told reporters Monday has increased political tensions.

The lira has now dropped some 45 percent this year.

Erdogan says Turkey is the target of an economic war, and has made repeated calls for Turks to sell their dollars and euros to shore up the national currency.

"The plunge in the lira, which began in May, now looks certain to push the Turkish economy into recession, and it may well trigger a banking crisis", said Andrew Kenningham, chief global economist at Capital Economics.

President Recep Tayyip Erdogan vowed to boycott iPhones in a demonstration of defiance as the USA held firm to its demand that Turkey release an evangelical pastor and Turkish executives called for action to bolster the lira. It stabilized Tuesday with a rise of about five percent.

"If we postpone our investments, if we convert our currency to foreign exchange because there's danger, then we will have given into the enemy", he said. "And have no doubt that today, we stand before the dollar, the exchange rate, the inflation and interest rates". "What do you want to do?"

Hope for clear skies in Cumbria for glimpse of meteor shower
Another said: "Experiencing my first ever Perseid Meteor Shower and actually seeing stars in this way is just lovely and wow". This year, the Perseids shower will last overall from August 10 to 14, with the peak taking place this weekend.


Brunson, 50, is being tried on espionage and terror-related charges, which he and the USA government vehemently deny.

Brunson is at the center of a diplomatic spat between North Atlantic Treaty Organisation allies Turkey and the United States, which has helped trigger a Turkish currency crisis.

Brunson's lawyer Cem Halavurt confirmed to AFP that he appealed for the release of his client once again on Tuesday, saying that: "The court should deliver its ruling in the next three days".

In the interview with Hurriyet newspaper, Albayrak described the lira's weakness as "an attack" - echoing Erdogan, who is his father-in-law.

In a joint statement Tuesday, Turkish business groups called on the government to institute tighter monetary policy in order to combat the currency crisis.

Following Monday's meeting between Bolton and Turkish ambassador Serdar Kilic, U.S. officials have given no indication that the United States has been prepared to give ground in the standoff between the two countries' leaders.

Washington meanwhile has repeatedly condemned his arrest, pointed out the lack of evidence against him, and last week, imposed sanctions against Turkey that have sparked a high-level diplomatic row that has raised questions about the U.S.'s relationship with one of its traditional Middle Eastern allies.

Related News:

  • Manchester United, Tottenham and Chelsea All Ready For Big Signings

    Manchester United, Tottenham and Chelsea All Ready For Big Signings

    Liverpool have invested heavily over the summer as they look to pose a challenge to last season's runaway champions, Manchester City, but the same can't be said for United.
    North Korea chides U.S.  for following ‘outdated acting script’

    North Korea chides U.S. for following ‘outdated acting script’

    Washington has said that sanctions will not be lifted until Pyongyang fully and finally dismantles its nuclear weapons. North Korea appears to continue dismantling a rocket launching site, a US think tank said, based on satellite images.
    Liverpool boss Klopp admits everything open for deadline day: Ings...?

    Liverpool boss Klopp admits everything open for deadline day: Ings...?

    Liverpool FC signed Brazil global Fabinho in a £39m deal from Ligue 1 side AS Monaco at the start of the transfer window. It was Sturridge who rounded off the scoring, steering in a header from Shaqiri's neat chipped cross late in the match.
  • Doom Eternal Might be the Most Insane Game Coming Out in 2019

    There are a ton of weapons shown off during the gameplay, like the blade attached to your arm, or a shoulder-mounted flamethrower. DOOM Eternal doesn't have a release date just yet, but it is set to arrive on Xbox One , PlayStation 4, Nintendo Switch , and PC.
    Car Crash Season - Several Manchester United Fans Split After Quiet Deadline Day

    Car Crash Season - Several Manchester United Fans Split After Quiet Deadline Day

    Ayew, who has 11 goals in 49 appearances for Ghana, scored 11 times for Swansea last season as he impressed in a struggling side. Tottenham Hotspurs was the only team in the league to not have signed any player in the current transfer window.
    Here's why Elon Musk wants Tesla to go private

    Here's why Elon Musk wants Tesla to go private

    China's Tencent Holdings Ltd, which took a 5-percent stake in Tesla a year ago , could also be a possible partner. But his nine-word tweet during the middle of trading Tuesday - "Am considering taking Tesla private at $420".
  • Watch Nicki Minaj Add A Verse About Stephen Colbert To

    Watch Nicki Minaj Add A Verse About Stephen Colbert To "Barbie Dreams"

    She was also asked about performing at the TIME 100 gala, where she dedicated "Anaconda" to Joe Biden and Donald Trump. Colbert then bowed down to Nicki , who asked, "Are you married?" while Colbert hid his wedding ring behind the desk.
    Stargazing conditions prime for meteor shower

    Stargazing conditions prime for meteor shower

    The meteor shower started to break out into the night sky around mid-July and will carry on through to the last week of August. Others are brighter and can appear to sail across our sky for several seconds, leaving a glowing smoke trail.
    Trump ‘monitoring’ the stolen plane situation

    Trump ‘monitoring’ the stolen plane situation

    Pierce County Sheriff Paul Pastor described the incident at a press conference as a "joyride gone terribly wrong". Department of Homeland Security and the Federal Aviation Administration directed inquiries to local authorities.
  • Aretha Franklin Reportedly Gravely Ill In Hospital

    Aretha Franklin Reportedly Gravely Ill In Hospital

    In 2010, rumors of her having pancreatic cancer spread like wildfire on the internet, though the singer adamantly denied them. The Detroit Historical Society reports that Franklin's family lived in Detroit shortly after she was born in 1942.
    Mnangagwa’s inauguration may need to be postponed as MDC arrives at court

    Mnangagwa’s inauguration may need to be postponed as MDC arrives at court

    The aftermath of the election has been marred by allegations of a crackdown on opposition members, including beatings and arrests. We had planned to have our inauguration on Sunday but we now have to wait for court processes if the alliance files its appeal.
    No play on Day 1 of second Test due to rain

    No play on Day 1 of second Test due to rain

    Joe Root has confirmed that the 20-year-old debutant Ollie Pope will bat at No 4 in the second Test against India at Lord's today. England have yet to decide whether Chris Woakes, a fellow pace-bowling all-rounder, or off-spinner Moeen Ali will replace Stokes.


Most liked

Beyoncé honours ailing Aretha Franklin at Detroit concert
Showbiz 411's Roger Friedman told CNN: "She has a great family, she's surrounded by love, and the world is sending prayers". While he told the celebrity news outlet Franklin "is sick", the family is "trying to keep her spirits up".

Trump aides offer conflicting statements on Trump "N-word" accusation
She slammed Vice President Mike Pence as a "swamp creature", and went as far as to call Trump "mentally and physically impaired". He had to laugh, though, at Omarosa talking about the White House allegedly covering up that Trump is "mentally declined".

Killer whale finally lets dead calf go
Tahlequah's pod travels dozens of miles in a day, Chiu wrote, and she pushed her baby's hundreds of pounds every inch of the way. Researchers with the Canadian and US governments and other organizations tracked her all the while, the Seattle Times wrote.

The Royal Family Is Reportedly In Total "Crisis" Over Thomas Markle
Harry is on a private working visit to Botswana with his charity Rhino Conservation, Kensington Palace confirmed last week. Thomas Markle conceded in the op-ed that Harry had warned him early on about the paparazzi and he ignored the warning.

Koepka joins golf greats with US PGA win
Just a matter of time till the former best player in the game returns to the winner's circle? I struck it so well at Firestone [WGC-Bridgestone Invitational], I just wasn't putting well.

'Totally complicit': Omarosa Manigault Newman recorded her White House firing
Kelly dismissed her involved a "threat" and shared an audio recording of Kelly she said she made in the Situation Room. In response to her media tour, the White House has painted Manigault Newman as a vengeful, untrustworthy opportunist.

Kerala CM undertakes aerial survey of flood-hit districts
Chief Minister Pinarayi Vijayan appealed to all for supporting state measures in dealing with the flood situation in the state. Vijayan has cancelled all his public functions till August 12, and will monitor the situation from the state capital.

Samsung's next move: A $22 billion bet on new tech
Samsung's target is to provide support for 300 external candidates and 200 internal projects in the next five years. Samsung will provide software education programs to 10,000 jobseekers and lend support to around 500 startups.

Beef Between Cam Newton And Kelvin Benjamin Seems to Have Escalated
When Benjamin said Newton was an inaccurate passer last week, the quarterback didn't seem bothered by it . While Benjamin clearly didn't want to talk about the situation, Newton didn't either, literally.

West Ham's Hernandez dreaming of top six finish
West Ham were already interested but now West Brom have joined the race to sign him. The Hammers also added Sanchez, 32, just before the deadline shut.

Yemen: School Bus Hit in Airstrike, at Least 30 Children Dead
Earlier, Maliki accused the Huthis of "recruiting child soldiers, throwing them in battlefields and using them as tools". The missile was sacked from the rebel-held Yemeni province of Amran towards the Saudi city of Jizan, the coalition said.

Manchester United tell Jose Mourinho to develop players at Old Trafford?
The Chilean worldwide cited Spanish side Barcelona who signed Vidal from Bayern Munich in the close season. He likes to paint pictures, I'm painting a picture as, you need to work with what you have now.

Will oil prices hit peak again?
Analysts estimated that Iranian production would drop further amid the restored sanctions and drive the oil price further up. Meanwhile, the USA said Tuesday it will begin imposing tariffs on an additional $16 billion in Chinese imports in two weeks.

Saudi Arabia-Canada spat hits 16,000 students as the Kingdom suspends scholarships
Jubeir added that Saudi Arabia was "considering additional measures" against Canada, without elaborating. Since then, the Saudi kingdom has pursued a scorched-earth policy towards anything related to Canada.

Meet NASA's New Astronauts Flying SpaceX And Boeing Ships to Space
Success in these missions means that the Boeing and SpaceX spacecraft could start regular servicing missions to the ISS. The astronauts assigned to the Starliner's first mission are Sunita Williams, who retired as a Navy captain, and Cmdr.