Markets Right Now: US stocks move broadly higher

Turkey has plan to ease market concerns, minister says, as lira plunges again

New Plan to Rescue Turkey's Deteriorating Economy

On another day of turmoil on financial markets, the Turkish currency plunged to a record low against the pound, taking its losses this year to 43 per cent.

Investors were also comforted by news that Finance Minister Berat Albayrak would hold a conference call with investors from the United States, Europe and the Middle East on Thursday, his first since assuming the post nearly two months ago.

The U.S. media said the decision was related to the current state of Turkish-American relations and the Brunson case.

Brunson's lawyer Cem Halavurt confirmed to AFP that he appealed for the release of his client once again on Tuesday, saying that: "The court should deliver its ruling in the next three days". The Trump administration introduced the economic sanctions as the result of an American Christian pastor who is now standing trial on alleged terrorism charges.

Separately, Russian Foreign Minister Sergey Lavrov, on an official visit to Ankara, said the increased USA tariffs and sanctions imposed by Washington are "based on the desire to dominate everywhere in everything, to control worldwide affairs and to achieve unilateral advantages on global markets".

The Turkish president has repeatedly been photographed while using Apple products such as iPhones and iPads.

The evangelical pastor is on trial for terrorism charges.

In an address to Turkish ambassadors gathered for an annual meeting in Ankara, the Turkish leader said that "attacks on the economy are likely to continue for a while", but Turkey will take steps to respond.

"It's another Manic Monday", said Jordan Rochester, a currency strategist at Nomura International in London.

Market analysts broadly welcomed his comments but said investors wanted to see action. It said it would take legal measures against them but did not say what these would be.

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Relations between North Atlantic Treaty Organisation allies Turkey and the United States are at a low point, hurt by a series of issues from diverging interests in Syria, Ankara's plan to buy Russian defence systems and the detention of an American pastor, Andrew Brunson.

The imprisonment of United States pastor Andrew Brunson has weighed heavily on relations, leading to a series of escalations. Erdogan claims that his stance against US imports is necessary due to the recent collapse in Turkish assets.

"We will boycott electronic goods from the United States", the president said, raising the stakes in a spat with Washington following the detention of USA pastor Andrew Brunson on terror-related charges.

With inflation expected to run above 20%, a current account deficit that continues to widen, bond yields trading at record highs and growing political tensions with the US, the Turkish administration have limited choices to stop the Lira from bleeding.

"If they have iPhone, there is Samsung on the other side". He suggested Turks would buy local or Korean phones instead of USA -made iPhones, though it was unclear how he meant to enforce the boycott.

That helped ease tensions in financial markets, with the Turkish lira stabilizing somewhat near record lows.

The move comes after the United States imposed sanctions on two Turkish ministers over the continued detention of an American pastor on terror-related charges, and President Donald Trump compounded the country's economic crisis by doubling steel and aluminium tariffs to 50% and 20%, respectively.

Turkey's influential business groups have called on the government to implement tighter monetary policy to help overcome the country's currency crisis.

The lira has been hammered by worries over President Erdogan's handling of the economy, a refusal to raise interest rates to curb rampant inflation and worsening ties with the US.

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