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Turkey's lira hits new low after bank rules' rollback
The lira weakened as far as 26.05 against the U.S. currency, surpassing last week's all-time low of 25.74. It trimmed its losses to 25.84 by 0945 GMT. It is down 28% so far this year, largely after the re-election in late May of President Tayyip Erdogan who has since moved to backtrack on his years of unorthodox economic policy including slashing rates despite soaring inflation. Two big steps were taken in recent days: the central bank under new Governor Hafize Gaye Erkan raised rates by 650 basis points to 15% on Thursday, a substantial tightening even though it fell short of market expectations. Then on Sunday, the ... (full story)