- Lira has lost nearly quarter of its value this year
- Losses driven by rate cuts, concern about political interference
- Erdogan weekend call to expel envoys sent lira to record low
ISTANBUL, Oct 25 (Reuters) – Turkey’s lira performed a volte face and bonds bounced back from multi-month lows after President Tayyip Erdogan welcomed statements on Monday from several Western embassies, paving the way for the de-escalation of a diplomatic row.
The lira , had tumbled as much as 2.4% to a record low early in the day after Erdogan said on Saturday he had told his foreign ministry to expel the ambassadors of the United States and nine other Western countries for demanding the release of philanthropist Osman Kavala. read more
Though the currency pulled back from the brink after Erdogan made comments on his way to a cabinet meeting called to discuss the rift. He told state media he welcomed pledges by several Western embassies to abide by a…