Turkey’s currency hanging on

– The under-pressure lira held steady against the dollar yesterday after US President Donald Trump’s national security advisor said Turkey had made a “big mistake” in not freeing a US pastor held on terrorism charges.

The lira has lost 37% of its value this year in a crisis triggered by concerns over President Tayyip Erdogan’s influence on monetary policy and excerbated by the dis-

Istanbul

pute with Washington.

US National Security Advisor John Bolton said during a visit to Israel that Ankara “made a big mistake in not releasing Pastor [Andrew] Brunson”.

The case was likely to continue to add to the lira’s woes, said Per Hammarlund, chief emerging markets strategist at SEB. “Ultimately, they will release Brunson but it will take a while and as long as there is a risk to US dollar flows to Turkish banks or to Turkey in general, then the lira will be under pressure.”

The lira stood at 6.0820 to the dollar at 11.33am yesterday, compared with a close of 6.0600 on Tuesday. Trade was thinner than usual and probably mainly offshore after Turkish markets closed at midday on Monday for Eid al-Adha festival. – Reuters