Turkish lira rallies as Ankara increases tariffs on U.S. imports

Recep Tayyip Erdogan Turkey's president

Recep Tayyip Erdogan Turkey's president

Tariffs also are in place for fruit, coal, makeup and rice, government officials said.

As President Recep Tayyip Erdogan intensified a diplomatic feud with his US counterpart Donald Trump with a spate of new import tariffs, the nation's banking regulator published new rules that have so far succeeded at lifting the lira off record lows.

The U.S. has already doubled steel and aluminum tariffs on Turkey and slapped sanctions on two Cabinet ministers. "We have other partnerships and alternative markets".

JP Morgan said moves by Turkish authorities to curb the lira's fall showed they were committed to stabilising the currency with technical measures such as restricting foreign exchange swaps and cancelling repo auctions to push up the average cost of bank funding. President Trump linked his.

The pastor row is one of several between the North Atlantic Treaty Organisation allies, including diverging interests in Syria and USA objections to Ankara's ambition to buy Russian defence systems, that have contributed to instability in Turkish financial markets.

Turkey's biggest mobile phone importing companies have cancelled their iPhone orders as Turkish citizens join a move to boycott United States products.

Some Turks are reacting with defiance to their plunging currency and an escalating trade and political dispute with the United States - an indication that they are ready to endure economic pain and risk further deterioration in a key, yet troubled alliance dating from the Cold War.

Afghanistan forces beef up defence of flashpoint city
Washington neither confirmed nor denied the meeting, but acknowledged Wells was in Qatar, where the Taliban maintain an office. These and other moves boosted the number of USA troops in Afghanistan by at least 3,500, to a total of more than 14,000.

A decree signed by President Recep Tayyip Erdogan raised the tariffs on cars to 120%, on alcoholic drinks to 140% and on leaf tobacco to 60%.

The U.S. Department of the Treasury on August 1 slapped sanctions on Turkey's justice and interior ministers, citing their roles in the detention of the U.S. pastor. After this latest row with the sanctions and tariffs, President Erdogan told supporters that his country would seek out new allies if the USA chose to cut ties.

Some analysts have predicted economic turmoil in Turkey for many months as inflation soared and the lira fell. The record low level of 7.2 against the greenback happened on Monday.

"Turkey will emerge stronger from these [currency] fluctuations", Albayrak said in a conference call with thousands of foreign investors. "As the lira collapses, this lending boom now is undoubtedly grinding to a sudden halt".

Investors have been pulling out of Turkey's markets, sending its stock market and currency plunging. The FTSE 100 index fell 1.1% to 7524.66, led by mining groups Anglo American, Fresnillo, Antofagasta and BHP Billiton. U.S. futures were also down before trading started on Wall Street.

European Commission President Jean-Claude Juncker tweeted Tuesday that he was delighted by the news of the soldiers' imminent release and that Turkey had "nothing to fear" from its European neighbors.

He didn't give a date for that meeting and also made no direct reference to Turkey's currency crisis.

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