Turkey's partnership with USA in jeopardy, Erdogan warns


Turkey's partnership with USA in jeopardy, Erdogan warns

"Before it is too late, Washington must give up the misguided notion that our relationship can be asymmetrical and come to terms with the fact that Turkey has alternatives", he said.

Mr Erdogan also wrote in the New York Times that unless the USA changed course, Turkey would look for new friends and allies. "Aluminum will now be 20% and Steel 50%", President Donald Trump tweeted".

On Friday, Erdogan asked Turkish citizens to sell off their gold and dollars and exchange them for the lira, in an attempt to prop up the currency.

ISTANBUL/ANKARA - President Tayyip Erdogan told Turks on Friday to exchange gold and dollars into lira, with the country's currency in free fall after President Donald Trump turned the screws on Ankara by doubling tariffs on metals imports.

The penalties also bar any U.S. transactions with the two men. "Don't forget, if they have their dollars, we have our people, our God".

Shares of Turkish steelmakers Kardemir Karabuk Demir Celik Sanayi ve Ticaret AS and Eregli Demir ve Celik Fabrikalari TAS plunged as much as 8 per cent and 9.9 per cent, respectively, after Trump's tweet.

"There is zero credibility in the Central Bank of Turkey and zero credibility in Turkish policy making".

President TrumpDonald John TrumpKobach agrees to recuse himself from vote counting in Kansas GOP primary NFL players kneel during national anthem before first preseason game Schiff blasts GOP for Russian Federation probe conduct: "That's how you obstruct an investigation, not how you conduct one" MORE said Friday that the US will also double tariffs on steel and aluminum imported from Turkey as relations between the North Atlantic Treaty Organisation allies worsen.

In the first three months of 2018, Turkish steel exports to the United States fell almost 50 percent over the same period in 2017, making it the only top-10 source of US steel imports to see a decrease, according to the US Commerce Department.

His cause resonates with Mr Trump's Christian conservative supporters.

Securing the release of Brunson, arrested in 2016, is a top priority for the United States, and it is also tussling with Turkey over the detention of three locally employed US embassy staff, trade issues and differences over Syria. A delegation of Turkish officials held talks with their counterparts in Washington this week but there was no sign of a breakthrough.

Investors are concerned with Erdogan's firm grip on Turkish monetary policy.

Investors piled into "safe" government debt, with German yields hitting three-week lows and the yield on the benchmark US 10-year Treasury note falling to 2.88822 percent. Some 4 million displaced people, most them from Syria, are now living in Turkey.

That indicates that people are buying dollars and euros, not selling them off - and that they're not finding buyers in lira, anyway.

Ankara is under pressure to adopt orthodox steps to protect the lira by aggressively increasing interest rates to rein in double-digit inflation, a move Erdogan has publicly opposed.

Paul Greer at Fidelity International said dramatic interventions were now needed as Turkey faced a "downward spiral" of investor confidence.

New Finance Minister Berat Albayrak - Erdogan's son-in-law - acknowledged that the central bank's independence was critical for the economy, promising stronger budget discipline and a priority on structural reforms.

The lira was trading at 6.47 to the dollar at 1900 GMT, a loss on the day of 16.6 per cent.