I wonder if Erdogan's mounting economic problems will persuade him to loosen his grip on Cyprus.
With the Turkish Lira’s devaluation against the dollar continuing to accelerate, a new record is broken almost every day. The expectation of the markets is that the devaluation of the lira will not stop soon; in fact, it will only continue.
Developments in the U.S. are among the most important reasons for this expectation. The wave that started in global markets after Donald Trump’s election to the U.S. presidency is not curbing. In the U.S., the expectation has risen that expenditures will rise. This in turn will cause inflation, which will make the U.S. Federal Reserve resort to interest rate hikes more often. The likelihood that the Fed will hike interest rates in December is constantly increasing. In the latest survey, 84 percent of market players expect a rate hike in December............
In other words, the administration’s economic and political decisions are accelerating the devaluation of the lira. As a change in the government’s decisions is not expected, we can safely say that the coming period will be even tougher.
http://www.hurriyetdailynews.com/devalu ... sCatID=467