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Turkish Currency Is In Free-Fall After President Erdogan's Demand That He Wants Low Interest Rates

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Title : Turkish Currency Is In Free-Fall After President Erdogan's Demand That He Wants Low Interest Rates
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Turkish Currency Is In Free-Fall After President Erdogan's Demand That He Wants Low Interest Rates

 

CNBC: Turkish lira crashes to ‘insane’ historic low after President Erdogan sparks sell-off 

 * Inflation in Turkey is now near 20%, meaning basic goods for Turks — a population of roughly 85 million — have soared in price and their local currency salaries are severely devalued. 

* “Insane where the lira is, but it’s a reflection of the insane monetary policy settings Turkey is currently operating under,” one analyst said. 

Turkey’s lira crashed to a record low of 13.44 to the dollar on Tuesday, a level once unfathomable and well past what was just last week deemed the “psychological” barrier of 11 to the dollar. 

“Insane where the lira is, but it’s a reflection of the insane monetary policy settings Turkey is currently operating under,” Tim Ash, senior emerging markets strategist at Bluebay Asset Management, said in a note in response to the news. 

The lira was trading at 12.7272 to the greenback at 4 p.m. local time on Tuesday, and was down around 15% on the day at one point, according to Reuters.  

Read more ....  

WNU Editor: A one day 15% collapse in the value of your currency is a disaster. This is what happens when a government pursues insane monetary policies. People in Turkey are going to suffer, and what is happening in Turkey will impact neighboring countries .... Factbox: European banks feel the heat as Turkey's currency plunges (Reuters).  

Update: The free-fall of the Turkish Lira is going to continue .... Lira Resumes Freefalling After Central Bank Has "No Comment" On Today's Historic Crash (Zero Hedge). 

More News On The Collapse Of Turkey's Currency  

Turkish lira tumbles after president Erdoğan vows victory in ‘economic war of independence’ – business live -- The Guardian 

Turkish lira in historic 15% crash after Erdogan stokes fire sale -- Reuters 

Erdogan’s Rate Cut Mantra Spurs Lira’s Worst Streak in 20 Years -- Bloomberg 

Turkey’s lira hits record low after Erdogan defends rate cuts -- Al Jazeera 

Lira collapse leaves Turks bewildered, opposition angry -- Reuters  

Food price hikes feared in Turkey after currency slump -- Al-Monitor  

Why Turkey's currency is plunging and what it means -- Bloomberg/AP

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CNBC: Turkish lira crashes to ‘insane’ historic low after President Erdogan sparks sell-off 

 * Inflation in Turkey is now near 20%, meaning basic goods for Turks — a population of roughly 85 million — have soared in price and their local currency salaries are severely devalued. 

* “Insane where the lira is, but it’s a reflection of the insane monetary policy settings Turkey is currently operating under,” one analyst said. 

Turkey’s lira crashed to a record low of 13.44 to the dollar on Tuesday, a level once unfathomable and well past what was just last week deemed the “psychological” barrier of 11 to the dollar. 

“Insane where the lira is, but it’s a reflection of the insane monetary policy settings Turkey is currently operating under,” Tim Ash, senior emerging markets strategist at Bluebay Asset Management, said in a note in response to the news. 

The lira was trading at 12.7272 to the greenback at 4 p.m. local time on Tuesday, and was down around 15% on the day at one point, according to Reuters.  

Read more ....  

WNU Editor: A one day 15% collapse in the value of your currency is a disaster. This is what happens when a government pursues insane monetary policies. People in Turkey are going to suffer, and what is happening in Turkey will impact neighboring countries .... Factbox: European banks feel the heat as Turkey's currency plunges (Reuters).  

Update: The free-fall of the Turkish Lira is going to continue .... Lira Resumes Freefalling After Central Bank Has "No Comment" On Today's Historic Crash (Zero Hedge). 

More News On The Collapse Of Turkey's Currency  

Turkish lira tumbles after president Erdoğan vows victory in ‘economic war of independence’ – business live -- The Guardian 

Turkish lira in historic 15% crash after Erdogan stokes fire sale -- Reuters 

Erdogan’s Rate Cut Mantra Spurs Lira’s Worst Streak in 20 Years -- Bloomberg 

Turkey’s lira hits record low after Erdogan defends rate cuts -- Al Jazeera 

Lira collapse leaves Turks bewildered, opposition angry -- Reuters  

Food price hikes feared in Turkey after currency slump -- Al-Monitor  

Why Turkey's currency is plunging and what it means -- Bloomberg/AP



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