|Bid||21.20 x 800|
|Ask||21.48 x 1800|
|Day's Range||20.22 - 21.37|
|52 Week Range||18.88 - 47.13|
|PE Ratio (TTM)||N/A|
|Expense Ratio (net)||0.62%|
Jan Dehn, Ashmore Group head of research, and Danny Tannenbaum, PwC global sanctions leader, discuss the global equity and currency market impact of Turkey's currency crisis.
Gold prices (GLD) haven’t been able to catch a break even as geopolitical concerns become more pronounced. On August 15, gold prices fell to a 19-month low of $1,173 per ounce as the US dollar continued its winning streak. Despite the trade war concerns, the political and economic tensions in the EU (European Union) (HEDJ), and Turkey’s (TUR) latest currency and economic crisis, gold has behaved like any other risk asset and not gained any bids.
Turkey was an emerging market investment darling in 2017. Turkish stocks were helped by the country's declining currency, the lira, according to Neil Shearing, chief emerging markets economist at Capital Economics, as reported in a CNN article. The problem is that Turkey's growing economy was fueled by foreign currency debt, which caused borrowing that resulted in deficits in the country's fiscal and current accounts.
Things are a mess in Turkey right now. The currency is hitting record lows. Inflation is hitting record highs. The stock market is in free fall. Borrowing costs are sky-high. Trade relations are weakening, especially with the U.S. The debt situation isn’t pretty.
At a time when the major indexes in the United States capital markets are nearing record levels, Turkey's economic crisis and its contagion returned with the Dow Jones Industrial Average dropping over 200 points. The turkey contagion continues to infect the markets, evoking a risk-off sentiment for investors domestically and internationally. With Turkey caught in the middle of an economic hurricane, Turkish bonds have rocketed past the 20% yield level.
MARKET PULSE Qatar will invest $15 billion in Turkey, Turkish news site NTV reported Wednesday, citing Turkish officials. The news followed a meeting between Turkish President Recep Tayyip Erodgan and Qatar's Sheikh Tamim bin Hamad Al Thani earlier in the day.
BAML (Bank of America Merrill Lynch) conducted a survey that polled 243 global investors with $735 billion in total assets under management from August 3 to 9.
On heavy volume, the iShares MSCI Turkey ETF (TUR) sank nearly 11% Monday, extending a slide that is sending shockwaves throughout the emerging markets space while taking TUR to a new 52-week low. While Turkey's economic crisis, one that has seen its lira slide to record lows against the dollar, has investors pensive about emerging markets equities, one emerging markets single-country exchange traded fund is still luring investors. “The Southeast Asian nation’s stock market surged into overbought territory last week and the sole U.S.-listed exchange-traded fund tracking the measure attracted the most cash since 2011.
While that sounds impressive, the lone U.S.-listed exchange traded fund dedicated to Turkish stocks is still down nearly 19 percent over the past week. Investors are apt to pin the woes of Turkish stocks on the weak lira, a currency that Turkey and its central bank are proving inept at defending. “As concerns about the Turkish economy continue to mount, particularly around borrowing in USD terms, investors have scrambled for protection via hedging tools,” Markit said in a Tuesday note.
The largest exchange-traded fund to track Turkey’s equity market has tumbled in recent trading, but it has also seen an influx of assets as investors attempt to play the troubled region.
Asia Down, Rupee Crushed, Bitcoin Up Asian stocks are down this morning, with Japan, China, and Hong Kong all participating in the pullback. Japan’s Nikkei (NYSEARCA:EWJ) is down close to 1%, Hong Kong’s Hang Seng (NYSEARCA:EWH) is down 1.8%, and China (NASDAQ:MCHI) is down 1.6%. The Chinese Yuan (CNY=X) hit the 6.9 level this morning, […] The post Market Morning: Asia Down, India Pummeled, Sears on Death Bed, Turkey Shoots Self In Foot appeared first on Market Exclusive.
The crisis unfolding in Turkey is a familiar one to most emerging market investors. The question, though, is if it's the beginning of a contagion that will spread across the globe — or one that offers ...
Turkish stocks and country-specific ETF climbed Tuesday as the lira currency strengthened after the central bank introduced measures to tighten liquidity and local traders sold U.S. dollars to profit on the recent currency pullback. Technical traders may also note that TUR's chart formed a morning star candlestick pattern, a bullish sign following a downward trend. The pattern that consists of three candles - a tall red candlestick, a second small red or white candle closing below the first, and a third tall white candle above the middle candle - is seen as an indicator of a trend reversal from bearish to bullish.
As it is global stocks are feeling the pinch of escalating trade tensions between the United States and China, and now the collapse in Turkish lira has amplified the concerns. This is especially true as Turkish lira is in a free-fall territory, nosediving as much as 11% against the dollar in early trading today after plummeting more than 20% on Friday.Source: Shutterstock
After gapping lower Friday, the major indexes remained pressured. The Nasdaq composite, S&P 500 and Dow Jones industrial average undercut Friday's lows.
The geopolitical turmoil in Turkey gave no reprieve to its local currency in the opening session as the Turkish lira continued its freefall, hitting an all-time low of 7.24 versus the U.S. dollar. The Turkish central bank attempted to ameliorate the falling currency with more liquidity by lowering the reserve requirement for banks by 250 basis points. Last Friday's collapse of the Turkish lira by 20% against the dollar continued over to begin this week's trading session in the U.S. The currency took a nosedive when U.S. President Donald Trump said he would double tariffs on steel and aluminum.
With the Turkish lira slumping to record lows against the U.S. dollar, the iShares MSCI Turkey ETF (TUR) was punished last Friday, putting the only US-listed ETF tracking Turkish stocks on pace for its one-day loss ever. TUR, which tracks the MSCI Turkey Investable Market Index, is over a decade old. Compounding the fund's woes was commentary from President Trump regarding new trade tariffs against Turkey.
Usually, gold (GLD) is considered to be a “safe-haven asset” and gains due to economic or political turmoil. The latest evidence is Turkey’s economic and currency crisis. On August 13, gold prices (IAU) fell to 17-month lows despite the raging crisis in Turkey, which also seems to be spreading to other regions.
Turkey's national currency, the lira, continues to trade near all-time lows against the U.S. dollar, and the country is approaching an economic crisis, the BBC reported. Turkey's financial problems are so large, they will require "something very special to short-circuit the crisis," Daza said on CNBC's "Squawk Box" segment Monday.
While the U.S. economy remains relatively strong, concerns about Turkey and other emerging markets could be a drag on the major U.S. indexes this week.