Zero Hedge – by Tyler DurdenWith chatter that over $3 billion has been thrown into the FX market to buy Turkish Lira, it appears the central bank is losing control quickly and Turkish stocks are tumbling. The Turkish Lira collapse almost 400 pips this morning to around 2.30 to the USD – an all-time record low as the combination of corruption, social unrest, and Fed taper are seeing hot money outflows faster than the Turkish Central bank can keep control. This is the biggest tumble in the Lira in almost 5 months as the Istanbul 100 (stocks) drops 2.9% – its biggest drop in a month; and Turkish bond yields are backing up to 2-year highs.
- *TURKEY FX SALES TODAY REACHED $3B: HSBC CITES `MARKET PLAYERS’
- *TURKISH LIRA WEAKENS PAST 3.15 AGAINST EURO IN ISTANBUL
- *TURKISH LIRA WEAKENS TO NEW RECORD 2.3029 PER DOLLAR
- *BORSA ISTANBUL 100 INDEX FALLS 2.9% TO 65,429.29 AT THE CLOSE
- *TURKEY 2YR BOND YIELDS RISE TO 10.50%, HIGHEST SINCE JAN. 2012
Green arrows show central bank efforts to control the chaos…
http://www.zerohedge.com/news/2014-01-23/what-central-bank-losing-control-looks
No, this is what a central bank INTENTIONALLY losing control looks like.
Let’s call a spade a spade.