Political turmoil pummels Turkish lira

Turkey's lira has fallen to a record low against the dollar amid fears over political instability.

Market turmoil in Turkey worsened this week. The Turkish lira has recently plunged to a series of record lows against the US dollar, amid fears over political instability and foreign money fleeing the market.

It hit yet another low of 2.27 to the dollar after the central bank decided against raising Turkey's key interest rate (which could have halted the slump by raising the yield on Turkish assets and making them more attractive to buyers). Turkish stocks are down by 30% from their 2013 high.

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