Turkey currency crashes as Trump doubles metals tariffs

Turkey to reveal 'new economic model' on Friday

President Trump has authorized the doubling of steel and aluminum tariffs on Turkey amid heated tensions over detainment of an American pastor.

Trump said via a tweet that the tariff on aluminium imports will be increased to 20 per cent and the tariff on steel imports will be raised to 50 per cent as the Turkish Lira "slides rapidly downward against our very strong Dollar!"

The currency slid almost 8 percent in relation to the dollar to a record low of 6.59 shortly after Trump announced the increase on metals duties on Twitter.

Bank shares across Europe fell and the euro slipped to its lowest since July 2017 as the Financial Times quoted sources as saying the European Central Bank was concerned about European lenders' exposure to Turkey. "But if the United States can't handle relations with Turkey ... then a further deepening of relations with Moscow is an option".

On Friday, Erdogan asked Turkish citizens to sell off their gold and dollars and exchange them for the lira, in an attempt to prop up the currency.

A plummeting Turkish lira sent ripples through global equities and emerging markets on Friday, as rising fears of a wider fallout sent investors scurrying for the safety of assets such as the yen and US government bonds.

Turkish President Tayyip Erdogan told a rally Friday that his country would not yield to what he called bullying and blackmail.

The lira, which has lost a third of its value this year, fell on his comments and was trading at around 6.05 to the dollar after he spoke, almost 9 percent weaker on the day. U.S. stocks were also rattled.

The tweet is another salvo in the growing dispute between Turkey and the U.S.

Fantasy Cricket: Dream11 tips for 2nd Test-- England v India
With the rain never stopping long enough for the toss to take place, both England and India have still to name their starting XI. Fans were treated to a stunning first Test in which England's mighty bowling effort saw them clinch the match by just 31 runs.

"In order to bring solutions to the existing problems, Turkey will always side with diplomacy, dialogue, good will and mutual understanding", he added. The tech-heavy Nasdaq composite was down 83 points, or 1.1%, poised to end an eight-day winning streak.

As President Erdogan continues to exert an iron grip on the government, economy, and people of Turkey, and the specter of a Turkish debt crisis continues to loom, the country's economy and currency are apt to remain under heavy pressure. That is because a trade war would make it even harder for Turkey to get the dollars it needs, so the lira would be even less valuable.

Jay Sekulow, an attorney for Trump who is also representing Brunson's family, told talk-show host and political commentator Sean Hannity's radio program on Friday: "We're close to getting a resolution in that case".

While there was no statement from the Turkish side, US State Department spokesperson Heather Nauert said wide-ranging conversations had been held.

While Turkey and the United States disagree over a host of issues, the most pressing disagreement has been over Brunson and the detention of other U.S. citizens in Turkey.

The lira fell 7% against the dollar to 5.9655 on Friday morning after hitting an all-time low earlier in the session.

The lira has lost around 20% of its value in the last 24 hours. The U.S. recently hit two high-ranking Turkish officials with sanctions after the Turkish government refused to release imprisoned Christian pastor Andrew Brunson.

Treasury and Finance Minister Berat Albayrak - who is Erdogan's son-in-law - was scheduled later on Friday to outline a "new economic model".

Related News:



Most liked

Manchester United vs Leicester City - predicted starting XI
I think one defensive mistake and probably the linesman could help him and give a free-kick against Leicester . The manager pointed to those players who, alongside Pogba, had little training due to post-World Cup breaks.

Mourinho loses power battle as United board opt against defensive signings
Pogba was linked with a move to Barcelona earlier this week but the United board never had any intention of selling him. Jamie Vardy is less likely, as Kelechi Iheanacho has been scoring goals aplenty in pre-season.

Jurgen Klopp Compares Liverpool to Rocky, Manchester City to Ivan Drago
But he said his team would also need a change in luck if they are to catch last year's runaway champions Manchester City . "Make the best of it". "It's pretty normal that there would be one point where we spent a bit more money.

Tense calm, cease-fire follows another Hamas-Israel flare-up
This comes less than 24 hours after Israeli airstrikes killed three Palestinians on Wednesday night. The military says they targeted more than 150 Hamas militant targets in the Gaza strip.

Samsung To Spend $22 Billion On AI, Auto Tech, 5G 08/08/2018
Talented students will receive opportunities to work at overseas research centers under cooperation with Samsung. A total amount of 110 billion won will be raised for the program, with Samsung accounting for 60 billion won.

Fredericton Police Confirm Four Dead In Shooting Incident
CTV said Moore reported that "police escorted people from their homes" after announcing a suspect was in custody. The Fredericton police said in a post on Twitter the incident was ongoing and there were multiple fatalities.

When to watch the Perseid meteor shower in Manitoba this weekend
The Perseids are so-called because the point from which they appear, known as the radiant, lies in the constellation of Perseus. The Perseid Meteor Shower takes place when the Earth travels through the cloud of debris left by the Swift-Tuttle Comet.

College hoops coach threw punch killing NYC tourist, police say
According to CBS News New York , the blow was so hard, Szabo fell backwards and hit his head on the concrete. After he punched Szabo, police say Jones got into an SUV and drove away leaving the man on the pavement.

Everton Agree Deal to Sign Mina From Barcelona
Mina could thus, be a top signing for Everton , depending on how quickly he can settle in the Premier League . Moments later they also confirmed that Portugal global Gomes would join the Premier League side on loan.

USA justification for sanctions 'far-fetched' - Russian Federation
Listen to Newsbeat live at 12:45 and 17:45 every weekday on BBC Radio 1 and 1Xtra - if you miss us you can listen back here. Along with his daughter Yulia, he was left seriously ill after being poisoned by the nerve agent Novichok in March.

Mourinho Expects "No" Players To Sign For Manchester United Today
But Mourinho has been keen on bolstering his squad further after they finished second last season, 19 points behind champions Manchester City .

Emery set for baptism of fire as Arsenal host Man City
The Gunners have not won the Premier League title since 2004 and they ended up in sixth place and without a trophy last term. For a good part, Welbeck has played on either side of attack but through the middle, Emery now prefers other players there.

Saudi-led coalition claims deadly Yemen attack
State Department spokeswoman Heather Nauert said the USA was "concerned" by reports of an attack resulting in civilian deaths. The missile was sacked from the rebel-held Yemeni province of Amran towards the Saudi city of Jizan, the coalition said.

Lucas Perez sends farewell message to Gunners after West Ham move
The Mexico global scored just eight goals in 28 league appearances last season but is looking forward to working with Pellegrini. Sanchez spent second half of last season on loan at Espanyol and his contract with Fiorentina expires at the end of next season.

Manafort suggested Chicago banker Calk as Army secretary, according to Gates
An IRS agent, Michael Welch, testified that Manafort didn't report at least $16 million on his tax returns between 2010 and 2014. Prosecutors in Paul Manafort's financial fraud trial say they have eight witnesses left and expect to rest their case Friday.