Turkish lira rebounds after Qatar pledges $15 billion

The lira plunged to a fresh record low of 7.24 against the dollar during in Asia Pacific trade where markets were opening for Monday morning. Ismail Ferdous  Bloomberg

The euro, which has been affected by concerns about European banks' exposure to Turkey, traded at Dollars 1.1375, off 13-1/2-month low of USD 1.1301 on Wednesday. -China trade talks offset by an end-of-week wobble in emerging markets as the Turkish lira's recovery ran out of steam.

On August 13, 2018, cryptocurrency trading surged in Turkey due to the recent plummet in the price of the Lira.

What should have had anyone watching the debacle banging their heads against the nearest wall was that the Turkish policy response seemed to be to, well, do nothing - except blame a mysterious global financial cabal for a crisis of Turkey's own making.

However, the central bank has defied calls from markets for rate hikes, raising concerns of interference from Mr Erdogan who is on record as describing himself as an "enemy" of higher interest rates.

Speaking in Washington, White House spokeswoman Sarah Sanders made clear the United States had no plan to remove the steel tariffs if Brunson were released though she said it could remove sanctions imposed on two senior Turkish officials.

Leaving aside the wisdom of launching a trade war with a North Atlantic Treaty Organisation ally over one man, the currency justification was - how to put it politely? - peculiar. The U.S. economy grew at its fastest pace in almost four years in the second quarter.

Mr Trump, who has doubled steel and aluminum tariffs on Turkey, said the steel tariffs had kicked in and the aluminium tariffs would take effect soon.

"Turkey has not done any wrong to the United States, not even once".

But then Wednesday came along, and the storm clouds seemed to recede.

Turkey is particularly friendly to the cryptocurrency ecosystem given that Turkish banks work with local exchanges.

The lira gained some support from the announcement late on Wednesday of a Qatari pledge to invest $US15 billion ($A21 billion) in Turkey.

More news: USA and China meet for trade talks

Turkey has increased tariffs on several US -origin products, including alcohol and tobacco products and cars, according to a new presidential decree published early Wednesday in the official gazette.

Yet the dollar was still up nearly 10% on the day at 7.00 lira.

Crisis averted - or has it just been deferred?

Among the big concerns is that Turkey's has amassed high levels of foreign debt to fuel growth in recent years. But there were costs. Instead, Brunson was placed under house arrest.

"The worst of the broader contagion fears is likely behind us, and we do not expect further knock-on effects from Turkish concerns for the major currencies or for global financial markets more broadly", said Erik Nelson, currency strategist at Wells Fargo Securities in NY.

Turkey's currency fell to a new record low today.

Any fall in the Turkish lira against the likes of the USA dollar and the euro accentuates that debt burden.

"They want to hold our wonderful pastor".

As monetary policy goes, that stance might not make much sense to anybody - except, that is, President Recap Erdogan.

Mr Erdogan has tightened his grip since consolidating power after general elections this year.

The initiative underscores the strong relations between Qatar and Turkey and re-emphasise Qatar's gratitude and appreciation for the stand taken by the government and people of Turkey in support of Doha when the unjust siege was imposed on it in June past year.

Related News:

  • Arsenal's Unai Emery - Playing out from back 'best way'

    Arsenal's Unai Emery - Playing out from back 'best way'

    Danny Welbeck has also returned to full training and could be involved in west London. I want in each moment to know what is our best action to do in the match.
    Saudi Fund Express Support For Taking Tesla Private: Elon Musk

    Saudi Fund Express Support For Taking Tesla Private: Elon Musk

    Tesla CEO Elon Musk at a press conference at the Kennedy Space Center in Cape Canaveral, Florida, U.S., February 6, 2018. The Saudi government is trying to diversify the country's economy which is dependent on oil.
    Omarosa Makes Damning Claims Against Trump

    Omarosa Makes Damning Claims Against Trump

    There is no proof that he chewed on paper, and several White House aides laughed at the assertion and said it was not true. Donald Trump is a "racist" who has used the word 'n*****' on multiple occasions, a former White House aide claims.
  • Meteor shower lights up skies over Bosnia

    Meteor shower lights up skies over Bosnia

    As comets get closer to the sun, their frozen surfaces begin to boil off, leaving dust and rock in their wakes. Scientists are saying the Perseid meteor showers the next few nights promise to be rather stellar.
    Zinedine Zidane ‘wants to be Man Utd manager’

    Zinedine Zidane ‘wants to be Man Utd manager’

    Zinedine Zidane allegedly wants to replace Jose Mourinho as Manchester United manager in 2019. Manchester United endured a unusual summer transfer window which closed on 9th August.
    Trump doubles tariffs on Turkey

    Trump doubles tariffs on Turkey

    The Turkish strongman also lashed out at interest rates, denounced them as a "tool of exploitation" which should be kept as low as possible.
  • Oil dips as US dollar rises, Turkish tumult elevates demand concern

    Oil dips as US dollar rises, Turkish tumult elevates demand concern

    LONDON-Oil prices fell Wednesday after data showed a rise in USA crude stockpiles, following days of volatile trading. Sentiment was also clouded by a darkening economic outlook which could start impacting oil demand, traders said.
    Aretha Franklin’s nephew gives health update on Queen of Soul

    Aretha Franklin’s nephew gives health update on Queen of Soul

    Franklin's music is at the center of an annual tribute to soul music called "Dancin' in the Street, Motown and More". One person influenced by Franklin is Desiree Washington, a local singer who performs as the legend in the musical.
    What's behind the current US-Turkey spat?

    What's behind the current US-Turkey spat?

    He also emphasized that there was a plan in place for small to medium businesses, which he called the "real" economy. It also reached one-year lows against the yen and Swiss franc, safe harbors in times of stress.
  • Melbourne dethroned as the most liveable city in the world

    Melbourne dethroned as the most liveable city in the world

    After seven years at the top, Melbourne has been displaced by Vienna as the most liveable city in this year's ranking. The Economist said the lowest-scoring cities are connected to conflict and unavailability of adequate infrastructure.
    Amid Deteriorating Economy, Iran's Khamenei Rejects Talks with U.S.

    Amid Deteriorating Economy, Iran's Khamenei Rejects Talks with U.S.

    It also prompted a registration flurry of new companies which had access to government dollars at concessionary prices. Rial's devaluation has presented the government of President Hassan Rouhani with possibly the most serious quandary.
    Firefighter killed battling California's Ranch Fire

    Firefighter killed battling California's Ranch Fire

    But despite the unrelenting heat and the fire gaining about 20,000 acres, the fire is now 61 percent contained . CAL FIRE reports that 147 residences have been destroyed in the two fires and another 1,025 remain threatened.

Most liked

Galaxy Note 9: Samsung refuses to fix its biggest problem
The device has an impressive 1 Terabyte of memory, which is expandable, so customers have the power to store more and delete less. But there's also no question that it's more of an evolutionary update than a revolutionary update.

FBI fires Peter Strzok in wake of anti-Pres. Trump text messages
Peter Strzok has been accused by Republicans of being biased against Donald Trump , and seeking to prevent his election victory. Gosh, for a while there, it seemed like Peter Strzok could go out on Fifth Avenue and shoot somebody and still not get fired.

Tragic Italian Bridge Collapse Footage And How It Could Have Been Prevented
The office of Prime Minister Giuseppe Conte said he was heading to Genoa in the evening and would remain there on Wednesday. More than 400 people were evacuated from buildings near or below the still-standing section of the bridge.

Turkey to boycott U.S. products including iPhone, says Erdogan
Turkey refused to release an American pastor who has been in detention in Turkey for almost two years now. On Monday, the Turkish currency hit a record low of 7.24 against the USA dollar in Asia Pacific trading.

Man Utd boss Mourinho surprised by Pogba's 'I will get fined' claims
United manager Mourinho praised Pogba for being " absolutely brilliant " in Les Bleus' final three matches in Russian Federation . Asked after the game whether he is happy at the club, Pogba said: "There are things I can not say, otherwise I will get fined".

Google's Pixel 3 XL Leaks in All Its Glory
And, earlier last week, live images of the Pixel 3 XL leaked online which further confirmed the design of this larger Pixel. Even images obtained from the video show a white Pixel 3 XL handset which looks like a final production unit.

In Sweden showed this year’s last solar Eclipse
The next total solar Eclipse will occur July 2, 2019 and will be visible to people in the South Pacific and South America. Accordingly, the moon will be near "perigee", the closest point to Earth in the moon's orbit.

Pro Golfers Impressed by St. Louis Crowds at PGA Championship
The Florida native closed out with a final round of 66 to finish at -16 and claim his third Major title in just two years. However, he regained his mojo with three consecutive birdies to close the front nine to take the solo lead to the back.

Soul Music Legend Aretha Franklin Is Reportedly Near Death
The Queen of Soul was in Detroit surrounded my friends and family preparing for her death, Showbiz 411 reported. The Queen Of Soul was diagnosed with cancer in 2010 and returned to performing in 2013 after undergoing surgery.

Former Brazilian striker Ronaldo Nazario is in intensive care
Ronaldo finished his career with an impressive 414 goals, 62 of which came in just 98 appearances for the Brazilian national side. He represented his country in three World Cups, including the 2002 edition, when Brazil won its fifth tournament title.

Secretly taping Trump conversations: Out of control
And NBC's "Meet the Press" is airing part of the conversation. Trump on Saturday labelled Manigault Newman a " lowlife ". Conway said "that is not what was offered" to Newman.

Sunil Gavaskar unable to attend Imran Khan’s oath-taking ceremony
The PTI has nominated Khan for the top post and he is scheduled to take oath on August 18 at the President House. Candidates up for the coveted posts will file their nomination papers to the Speaker's office on August 14.

Jose Mourinho Second with Manchester United among my biggest achievements
Pogba explained his side of the incident after the game and said he would not always be taking penalties for United this season. Jose Mourinho has cut a miserable figure all summer after only signing Fred , Diogo Dalot and Lee Grant .

Suspect in Fredericton shooting identified as Matthew Vincent Raymond
Canadian Public Safety Minister Ralph Goodale told reporters the RCMP were assisting Fredericton authorities in the investigation. Everett Chalmers Regional hospital is now treating multiple victims of today's shooting. "I'm very torn up", he said.

Google Makes Embarrassing Error Following Fortnite Android Release
The Fortnite beta for Android was announced yesterday during the Samsung Galaxy Unpacked 2018 event by Epic Games CEO Tim Sweeney. Additionally, to download files outside of Play Store requires users to tinker around with security permissions.