- Turkey Meltdown: Lira Implodes As Panicked Sellers Spark Global Contagion
by Tyler Durden, https://www.zerohedge.com/
The Turkish currency crisis is finally here and it is sending shockwaves around the globe. After weeks of a slow, but controlled collapse, investors finally hit the panic button overnight, when the Turkish lira crashed as much as 11.2% against the dollar as concern over contagion from Europe’s exposure to the Turkish economic devastation overshadowed promises by the Turkish government to bolster the economy.
The Turkish Lira plunged to a record low of 6.3005 per dollar on Friday morning, before rebounding modestly to 5.88, and is now down more than 35% in the year to date.
Friday’s fall has made the Turkish Lira the worst performing emerging market currency in 2018 and as the currency was headed for its worst week since 2001, its YTD collapse has surpassed even the Argentine Peso.