Lira Falls to Record Low as Turkey Arrests Compound Fed Concern
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Turkey’s lira fell to an all-time low after police detained journalists suspected of links with U.S.-based cleric Fethullah Gulen, deepening a drop spurred by concern the U.S. will raise interest rates next year.
The lira weakened as much as 4.1 percent to 2.3926, a record against the dollar on a closing basis. It traded at 2.38 at 6:41 p.m. in Istanbul, the lowest level since Jan. 27, a day before the central bank more than doubled its main rate to halt the currency’s decline. Yields on two-year notes climbed 23 basis points to 8.51 percent in a third day rising.