Turkish State Banks Hold off Lira Defense in Policy Shift Signal

Turkey’s state-run banks didn’t intervene to prop up the lira on Thursday, even after a central bank interest-rate decision sent the currency to a record low, signaling what could be a decisive shift in policy.

The banks held off selling dollars in the market as the currency fell 4.4% to 24.62 per dollar, according to traders who asked not to be identified, because they weren’t authorized to speak publicly on the matter.