Erdogan Defiant While Turkey Slips Toward Financial Crisis

  • Biggest currency shock for lira since 2001 uneases investors
  • Turkish market plunge has started to stoke fears of contagion
Erdogan Defiant While Turkey Slips Toward Financial Crisis
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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 strategic NATO ally for a pastor,” Erdogan saidBloomberg Terminal 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.”