#1 [Bloomberg] Erdogan Defiant as Turkey Slides Toward Financial Crisis
Turkish President Recep Tayyip Erdogan is showing no signs of backing down in a standoff with the U.S. that rattled markets. As investors worry about Turkey sliding toward a full-blown financial crisis, the big question now is how far the pain may spread.
“I call out to those in the United States. It is a shame. You are trading a worthless backstabbing strategic NATO ally for a pastor,” Erdogan said Saturday during a rally in the Black Sea port of Ordu, referring to the U.S. decision to sanction Turkey for its imprisonment of an American priest. “You cannot tame our people with threats.”
A plunge in the lira on Friday sent tremors through global markets as tensions flared between the NATO allies. At one point, the currency fell as much as 17 percent against the dollar, fanning fears that the financial tumult could infect Europe and faraway emerging markets. |