|Day's Range||0.162 - 0.163|
|52 Week Range||0.1414 - 0.2837|
The Turkish lira jumped versus the U.S. dollar on Monday after Secretary of State Mike Pompeo told reporters that Pastor Andrew Brunson, who has been detained in Turkey, could be released this month. He is next scheduled to appear in court on Oct. 12. Brunson's detention on the grounds of terrorism charges created a diplomatic spat between the U.S. and Turkey. The pastor's story coincided with other issues that put a strain on the two allied countries' relationship, such as the dramatic sell-off of the Turkish lira earlier in the summer and U.S. import tariffs. The U.S. dollar last bought 6.0676 lira , a one-month low, compared with 6.2923 late Friday in New York. The lira also strengthened against the euro , its other major rival, which fell 3.7% to buy 7.1200 lira.
The U.S. dollar weakens against many of its major rivals on Thursday following a lower-than-expected consumer price inflation reading.
U.S. stocks traded higher early Thursday as stocks climbed in apparent optimism centered on the prospect of fresh U.S.-China trade talks. The Dow Jones Industrial Average rose 160 points, or 0.6%, at 26,159, with a gain on the day representing the index's longest string of wins since the four-day stretch ended Aug. 29 and a retake of the psychologically significant 26,000 level. Meanwhile, the S&P 500 index advanced by 0.5% at 2,904 and the Nasdaq Composite Index climbed 0.9% at 8,028, reversing some of the recent weakness in the technology-and-internet-heavy benchmark. A report late Wednesday from the Wall Street Journal said that the Trump administration is giving Beijing another chance to try to stave off new tariffs on $200 billion in Chinese exports. In economic data, the consumer-price index rose by 0.2% in August, its fifth straight increase. Economists polled by MarketWatch had predicted a 0.3% gain. Separately, jobless claims fell slightly in the latest week, holding at a 49-year low. Separately, Turkey's central bank raised its interest rates by 6.25 percentage points, with that move coming amid fears that a deterioration in the lira could result in a currency crisis that could spillover to the rest of the world. The rate hike was seen as possibly alleviating some of those pressures. Separately, the European Central Bank and the Bank of England kept their monetary policy unchanged.
The Turkish lira rallies sharply on Thursday after the Central Bank of the Republic of Turkey raised its one-week repo rate by 6 .25 percentage points to 24% from 17.75%. Market expectations for the policy update had been wide-ranging with no consensus. Still, Thursday's rate increase was was the higher end of any predictions for a rate raise. The CBRT cited "a more significant rebalancing trend in the economic activity," in its reasoning, adding that "external demand maintains its strength, while slowdown in domestic demand accelerates." The inflation outlook was also pointing at risks of price instability, the bank said in a statement, and "accordingly, the Committee has decided to implement a strong monetary tightening to support price stability." Turkish CPI last stood at 17.9% on an annualized basis in August. The CBRT has been closely watched since Turkey's currency crisis unfolded over the course of the summer, as market participants believe aggressive interest rate hikes could be one way out. However, the CBRT has been under fire from President Recep Tayyip Erodgan, who has been vehemently against higher rates. Earlier Thursday, Erdogan banned domestic sales and rental transactions in foreign currencies. The lira rallied versus its main rivals, the U.S. dollar and the euro, in response to the rate hike. One dollar last bought 6.1711 lira , down 2.7%, while one euro fetched 7.1806 lira , also down 2.7%.
Ahead of Turkey’s central bank policy update on Thursday, market participants can’t find a consensus on what officials might do to stem Ankara’s currency crisis.
As investors turn their attention to turmoil in emerging markets, analysts at Nomura revive an index they say has correctly signaled two-thirds of past emerging-market currency crises. Here are the seven countries they see most at risk.
South Africa unexpectedly met a widely used definition of recession in the second quarter, adding to the woes that have been dominating emerging markets as analysts weigh the risk of contagion across the asset class.
Carnage in emerging markets currencies cast a cloud over summer vacations. Here’s why the turmoil might continue.
The U.S. dollar trades little changed on the final trading day of August, leaving a closely followed index clinging to a modest monthly gain.
U.S. stocks posted their first losses in the past five sessions and the S&P 500 and the Nasdaq snapped a streak of 4 consecutive records, as a plethora of global worries buffeted equity indexes in the final week of August trading. Meanwhile, the S&P 500 index (SPX) declined by 0.4% at 2,901, while the Nasdaq Composite Index, which had briefly carved out an intraday peak, ended down 0.3% at 8,088. Both the S&P and Nasdaq halted their succession of record closes at four.
Argentina’s peso plunges to a record low, extending losses despite a large, emergency rate hike, while Turkey’s currency troubles continue. While the currency problems are largely homegrown, they underline worries surrounding emerging markets, analysts say.
Argentina’s central bank on Thursday delivers an emergency rate rise, boosting its benchmark rate to 60% from 45%, in an effort to stem the peso’s plunge. It didn’t work.
The Brazilian real fell to a 31-month low versus the U.S. dollar on Thursday after having trading down all week as political risk in the South American nation rose. But there could me much more pain in store for the real, as it hovers dangerously close to an all-time historical low against the buck.
G-10 currencies see muted trade on Monday and a popular gauge of the U.S. dollar relinquishes some modest gains, as investors await an important central bank retreat in Jackson Hole, Wyo., later this week.
MARKET PULSE U.S. stocks opened higher Monday as investors bought stocks amid apparent optimism about the progress of negotiations between the U.S. and its major trading partners. The Dow Jones Industrial Average (DJIA) rose about 80 points, or 0.
S&P Global Ratings on Friday lowered Turkey's long-term foreign currency sovereign credit rating to 'B+' from 'BB-' with a stable outlook. "The downgrade reflects our expectation that the extreme volatility of the Turkish lira and the resulting projected sharp balance of payments adjustment will undermine Turkey's economy," said the ratings agency.
The U.S. dollar looks listless on Friday, sliding against a handful of its major rivals but rallying against some emerging markets as investors assess the state of risk sentiment amid worries over further sanctions on Turkey.
MARKET PULSE Stocks opened flat to slightly lower Friday, dinged after a round of disappointing corporate earnings and renewed pressure on Turkey's lira (usdtry) The S&P 500 (spx) fell 0.1% to 2,837.
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Turkey’s currency crisis is sending ripples through global financial markets, but analysts say it isn’t necessarily a death sentence for all emerging-market currencies.
U.S. stock-index benchmarks surged in early Thursday trade, as strong corporate earnings helped to overshadow Turkey's currency crisis and as China and the U.S. appeared set to resume trade talks. The Dow Jones Industrial Average (DJIA) was most recently up 427 points, or 1.7%, at 25,591, more than erasing its Wednesday losses, which was sparked by worries about emerging markets in light of a currency crisis in Turkish lira (TRYUSD) The rally puts the benchmark on pace for its best one-day gain since April 10, according to FactSet data. China's commerce ministry will send a delegation to the U.S. later this month to resume trade talks, according to reports, which would mark the first such meeting since July.
Live from the floor of the New York Stock Exchange, Yahoo Finance's Jared Blikre joins Alexis Christoforous to discuss the latest market moves.
From the floor of the New York Stock Exchange, Yahoo Finance's Jared Blikre joins Alexis Christoforous to break down the latest market action.
The White House has reportedly rejected a deal with Turkey over a detained pastor. Yahoo Finance’s Alexis Christoforous and Rick Newman explain why the fight between the US and Turkey is likely to continue.