USD/INR closed at 68.8025 against its opening of 68.75.
Dollar under pressure after Fed fuels bets on large rate cut.
Sensex provisionally ends 560 points lower at 38,337, with all but four components in the red.
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U.S. sanctions network selling materials for Iran nuclear programme.
North Korea says nuclear talks at risk if U.S.-South Korea exercises go ahead.
South Korea's central bank surprises with rate cut as Japan row adds to risks.
U.S., Japan eye possible small trade deal by September: sources.
Japan's core inflation hits 2-year low, might push BOJ to ease again soon.
Iran ready to talk if U.S. lifts sanctions, Pompeo skeptical.
Japan trade minister blasts South Korea for 'mistaken' explanation after bilateral meeting.
Oil jumps, Brent up more than 2% after U.S. Navy downs Iranian drone.
China makes biggest U.S. sorghum purchase since April as trade talks resume.
Trump administration erects another barrier to immigrants seeking U.S. asylum.
Worried UK employees call for changes to proposed immigration reform.
China to tighten restrictions on scrap metal imports.
Gold inches down as strong U.S. retail sales lift dollar.
Asia stocks firm as Fed props up rate cut expectations.
Chance of no-deal Brexit rises as Johnson leads Hunt - poll.
Turkey Financial Crisis Erupts, Stoking Concerns of Contagion
Turkey's currency, the lira, has hit record lows, creating a headache for the country's president and pushing up prices on everyday items. Turkey entered a full-blown financial meltdown on Friday, sending tremors through global markets, after President Recep Tayyip Erdogan declared his refusal to bow to U.S. political demands and market pressures. The unraveling was swift, highlighting the fragility of Turkey’s economy after years of a growth-at-all-costs policy bias that left its companies saddled with hundreds of billions of dollars in foreign debt. The lira plunged as much as 17 percent on Friday alone, bringing its loss for the year to 42 percent and raising the specter of contagion into Europe and across other emerging markets.
A combination of factors, according to experts, has led to fears the country is sliding into an economic crisis. Investors are worried that Turkish companies that borrowed heavily to profit from a construction boom may struggle to repay loans in dollars and Euros, as the weakened lira means there is now more to pay back. Then there are Turkey's worsening relations with the US. Donald Trump's administration hit its justice and interior ministers with sanctions last week, a reaction to the detention of American pastor Andrew Brunson, who has been held for nearly two years over alleged links to political groups. In many nations, including the US and EU states, the central bank is independent of government and no one can tell it what to do with interest rates. This means it can keep control of inflation by raising them when necessary. But in Turkey, Mr Erdogan has made sure he controls the reins. He claimed the exclusive power to appoint the bankers that set interest rates - and to cement his control he has put his son-in-law in charge of economic policy.
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