Turkish Lira Plunges as Davutoglu Said to Plan Stepping Down
- Premier Davutoglu said to plan party convention in 15 days
- Turkey ETF tumbles in U.S. trading amid political uncertainty
Turkish lira banknotes sits on the counter of a foreign currency exchange office in Istanbul.
Photographer: Kerem Uzel/BloombergThis article is for subscribers only.
Turkey’s lira tumbled the most in five years as Prime Minister Ahmet Davutoglu was said to plan to step down this month, threatening to drag the county back into the kind of political turmoil that spurred an investor exodus last year.
The currency plunged 3.9 percent on Wednesday, its steepest daily slump since 2008. The iShares MSCI Turkey ETF lost 8.2 percent to $39.35 in the biggest decline in three years. Davutoglu’s ruling Justice & Development Party, or AK Party, will hold a leadership contest within about 15 days without Prime Minister Ahmet Davutoglu as a candidate, a person familiar with the matter said.