Erdogan’s Gift From God; Obama Laments Baton Rouge: Sunday Wrap

  • Turkish, Middle Eastern markets should resiliency at openings
  • Potential Clinton VP pick calls Trump politics’ Madoff

Here are highlights of Sunday’s top breaking stories from around the world:

As President Recep Tayyip Erdogan continued his roundup of soldiers and others accused of participating in the weekend’s unsuccessful coup attempt, which he termed a "gift from God,” Turkey’s central bank promised unlimited liquidity to lenders to try to calm investors before the market opening. There was some encouragement in that there was no contagion to Middle East markets, and that the lira gained 1.5 percent in early trading after being pummeled late Friday as reports of the coup began to circulate. Still, whatever image of Turkey still existed as a safe place to invest and travel was seriously damaged by images of tanks on bridges and the parliament building being bombed -- on top of previous terrorist bombings. 

The first direct financial casualty may be Sekerbank, an Istanbul-based lender that had to postpone a $300 million bond sale it was supposed to start promoting on Sunday. 

Erdogan repeated his calls for the U.S. to extradite exiled cleric Fethullah Gulen, whom the president accused of fomenting the uprising. U.S. Secretary of State John Kerry told Erdogan he’d better prove his case and stop implying that the U.S. was behind the coup. Incerlik Air Base reopened to U.S. flights against Islamic State a day after the Turks closed the airspace around it and cut off power. 

The killings of 3 police officers in Baton Rouge, Louisiana -- a city riled by the earlier killing of a black man by police -- prompted a rare Sunday appearance by President Obama to decry the continued wave of violence involving police and plea for all politicians to tone down their rhetoric during the upcoming conventions.

The latest shootings prompted the police union in Cleveland to appeal to Governor (and former presidential candidate) John Kasich to suspend Ohio’s open-carry law on guns during the Republican National Convention. He refused, saying he didn’t have such power.

Donald Trump, on the eve of his nominating convention, said he’d take out Islamic State with “unbelievable intelligence” and a small number of U.S. forces, while saying the jihadist group was essentially created by Democratic opponent Hillary Clinton. One of Clinton’s potential running mates called Trump the Bernie Madoff of U.S. politics. And United Airlines suspended a pilot who is also a West Virginia state delegate, after he tweeted that Clinton should be tried for treason and hung on Washington’s Mall.

Top deputies to new Prime Minister Teresa May expressed confidence that the U.K. will retain access to the single European Union market after leaving it, while tightening immigration and being able to negotiate trade deals around the world. The only Bank of England governor to vote for an interest-rate cut at the latest meeting wrote in the Financial Times that the U.K. needs not only a cut but other stimulus.

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