Erdogan added that Turkey was not afraid of "threats" and said it had many alternative sources of economic cooperation "from Iran, to Russian Federation, to China, and some European countries". At the time, the Turkish woes contributed to poor sentiment towards emerging markets, leading to net bond outflows of R29.59bn in June alone, according to JSE data. I hope we can soon get Pastor Brunson and other Americans released in a win-win fashion for both the U.S. and Turkey."Trump's move to double tariffs on Turkey was even praised by one of the president's most frequent Democratic critics". It was at R16.0729 to the euro from R15.8015, and at R17.9245 to the pound from R17.5780.
While Mr Barkey advised for a one-on-one meeting between Mr Trump and Mr Erdogan to negotiate and de-escalate the situation, Steven Cook of the Council on Foreign Relations did not see a path to end the spat soon.
"People looking at things this morning are much more aware that there is central (major) contagion risk", said David Owen, chief European economist at Jeffries in London.
World stock markets fell Friday, particularly in Europe, as investors anxious about the financial stability of Turkey, where the currency has nosedived.
"If there is anyone who has dollars, euros or gold under their pillows, they should go exchange it for liras at our banks", he said Friday. But invoking national security is the only way to square Trump's policy with US law and WTO rules.
Turkish President Erdogan urged all residents to rapidly convert dollars and other foreign currency into liras, saying the nation was facing an escalating financial crisis that would likely get worse in the coming weeks.
A money changer counts Turkish lira banknotes at a currency exchange office in Istanbul, Turkey August 2, 2018.
Idris Elba is close to finally winning the role of James Bond
And after years of fan demand, it appears that Elba may finally have to start ordering his martini's shaken, not stirred. Back in 2014, Sony's then-studio chair Amy Pascal told a colleague that "Idris [Elba] should be the next Bond ".
Albayrak, who formerly served as energy minister, on Friday announced what he has described as a "new economic model" for Turkey but he focused on macro-economic issues and steered well clear of tackling the currency crisis.
The lira stumbled even more as Erdogan delivered a wild speech to supporters about the plunging currency, encouraging Turks to buy it up.
"The basic reason the exchange rate has gone off the rails is that confidence in the management of the economy has disappeared both domestically and overseas", said Seyfettin Gursel, a prominent economist and a professor at Turkey's Bahcesehir University.
"Confidence needs to be regained".
The sudden announcement turned a run on the Turkish lira into a rout; it crashed more than 18 percent to a new record low against the dollar.
The rouble slid to two-year lows after Washington said it would impose fresh sanctions on Moscow. "Albayrak's plan was uninspiring at best". His comments on interest rates - and his recent appointment of his son-in-law as finance minister - have heightened perceptions that the central bank is not independent.