Euro edges up as lira recovers

LONDON: The euro recovered on Tuesday from earlier losses linked to the collapse of the Turkish lira, but investors said the exposure of European banks to Turkey would continue to trouble the single currency. The lira has lost more than 40 percent of its value against the dollar this year, hit by worries over President Tayyip Erdogan’s calls for lower interest rates and fraying ties with the United States. However, the lira recovered some ground on Tuesday, trading at 6.60 to the dollar, up around five percent on the day, after having crashed to an all-time low on Monday. The currency was supported by news of a planned conference call in which the finance minister would seek to reassure investors concerned by Erdogan’s control of the economy.

Published in The Express Tribune, August 15^th, 2018.

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