Turkey tried to save its currency. It worked — for a day.
By Matt O'Brien
May 25 at 10:54 AM
Markets 1, Autocrats 0.
That, at least, is the score after Turkey's central bank was forced, over the vociferous objections of the country's president, Recep Tayyip Erdogan, to finally accede to economic reality and aggressively increase interest rates from 13.5 to 16.5 percent in what was only a temporarily successful attempt to prop up the nation's currency. Indeed, after a brief rally Wednesday, the lira was down an additional 2.3 percent Thursday to bring it 19 percent lower than it was at the start of March. Which is to say that investors aren't finished fighting with Erdogan over how high interest rates need to go.
More:Turkey tried to save its currency. It worked — for a day. - The Washington Post
