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Turkish Lira Crashes To New Record Lows, Erdogan Slams "New York Times Owners"
Following his outburst at the "independence" of the Turkish Central Bank earlier this week (which crashed the Lira), President Erdogan has opened his mouth again this morning...
- *ERDOGAN: TURKEY NEEDS NEW CONSTITUTION AND PRESIDENTIAL SYSTEM, and
- *ERDOGAN SAYS PEOPLE SHOULD RESEARCH NEW YORK TIMES OWNERS
So the blame for his nation's weakness is an independent central bank and the NY Times... The Lira just passed 2.47 to the USDollar - a record low.
It appears SocGen was right... The honeymoon is over
Turkey was supposed to be the big trade of the year. After all, it did look particularly good at some point, with the sharp decline in inflation and the collapse in oil prices. Somehow, Turkey had become the new darling of global emerging markets (GEM).
Fast forward a month or two and this is now all over.
So what happened? Essentially, a big policy error on the part of the central bank in the context of serious political pressures. The emergency meeting saga caused tremendous damage to the credibility of the policy framework and to investor confidence.
I am in the US visiting investors right now, and nobody is bullish on Turkey any more.
Last time I was there, everybody was. If I had been in the governor’s shoes, I would have stayed quiet and continued easing normally at each scheduled meetings. Nothing wrong with that, and in fact, Mr. Market was going to love it. I would also have looked up the definition of “emergency” in the dictionary.
The TRY selling off by 2% each day, causing serious stress in the local financial market? An emergency.
Inflation declining a bit faster than usual, helped by fortunate external factors? Not an emergency.
Overall, this was a highly disappointing experience and now the CBRT has moved to my list of “fading” central banks from that of the “following” ones. What I mean by that is I want to position for policy backtracking in Turkey at this point, given the heightened risk of policy volatility. Our 1s5s curve steepener has been struggling quite a bit, as it was a bullish trade on market-friendly policy easing. We just elected to close it at flat PnL.
Meanwhile, I believe that positioning is still heavy on the Turkish bullish side, even if sentiment has sharply deteriorated, which represents a major technical risk.
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*ERDOGAN SAYS PEOPLE SHOULD RESEARCH NEW YORK TIMES WRITERS SOURCES
Isn't it amusing how a currency suddenly starts to sell off when politics wants to strip private banks ability to print money?
Turkey should be let unti the European Union. This would temper their economy and give them access to capital from the ECB, allowing their economy to grow and recover. Together countries are stronger. Some peoeple think the Greek crisis demonstrates that the EU is a 'disaster', but I think it just proves how much more integration and centralization we need.
Normally I like your posts -- but this time it was a strike and a miss.
Bring back your old avatar.
NY Times owner is no different than the owner of Goldman Sachs (financial system), the monopoly of the legal system and the people who run the Federal Reserve.
Yeah Turkey and Greece better watch out if they start siding with the Russians.
And the Western media seems pretty desperate when they have to post stuff like this to diss Putin.
http://www.usatoday.com/story/news/politics/2015/02/04/putin-aspergers-s...
and to think I just heard a story about some in Turkey handing out flyers telling people not to talk to or associate with Christians. Can't confirm, of course, but the source is not unreliable.
Anybody else tired of Muslims blaming Jews for the problems they themselves created.....didn't think so.....
Not sure it's relevent that Turkey is predominantly muslim. But it's very relevent what tribe the world's central bankers belong to.
If all the world's central bankers were muslims instead, might that not raise a few eyebrows?
You go against the tribe, you're on the hit list. That's the story here. Erdogan is right on the money. He could sophisticate his message a little by spending some time on the comments section of the Hedge.
And I think I just invented a verb. "To sophisticate".
YewYorkTimes - Refuses to acknowledge evidence of WT7 demolition. Even when it is posted on a billboard across from their office. It's not ignorance, it's willful deceit and collusion with the government. Funny that Erdogan is off the wagon. He used to be a good old boy.
Asperger's? You mean the Asperger's that is the basis of modern technological civilization? That Jefferson, Washington, Franklin, Einstein, Newton, Tesla, Mozart, Beethoven, Ford, Edison, Marilyn Monroe, and many others, are believed to have been.
Beats the high-function psychopaths who run the West.
http://www.thegreatdebate.org.uk/MentalismCB.html
being accused of having Asbergers Syndrome is like being accused of being "super intelligent and objective".
Imagine a world of nations run by people with Aspergers, super intelligent objective leaders, we should be so lucky.
Asperger's is called the engineer's disorder.
Zhou Xiaochuan is jewish? And Fahad Al Mubarak or Saudi Arabia, too? I bet that's news to them.
"To tell a family secret, my Grandma was Dutch".
-Sheriff Bart
For balance, they also need to print about Obummer's Assburner's Syndrome.
"President Erdogan..." "...slams NYTimes owners."
So in effect, it would be like him complaining to Dad.
Turkey should be exploding in growth with the refugee influx as well as all that new Russian gas & oil
Yes they* are desperate I noticed this Yahoo "news" piece includes a photo from 1994 (it ran today) http://finance.yahoo.com/news/russians-advised-pull-money-banks-14570052...
REUTERS Muscovites in front of a currency-exchange office in Moscow in 1994.
If Turkey was let into the European Union, there would be a far bigger tidal wave of Muslim immigrants into Europe than there is right now.
Erdogan's beef is that he wants to be Sultan of a new Ottoman Empire, but the existing Turkish constituion won'w allow that. Just another power hungry POS.
Spot on RBG81. He is an islamist nut job. No way should they be let in the EU to further EU power. The only result would be mass muslim immigration and more debt.
On muslims I note the UK army says it must recruit more as only 0.5% are muslims in the British army. Fucking toospots, don't they realise muslims want to take us over and make islam the No1 religion. More british muslims joined ISIS than the British army. The fuckin retards running the show just don't get it
And of course the West's psychopaths want to subjugate the entire World under their religion of Plutocratic Central Banksterism.
I see a nail gun in use soon
and he will be nailed from behind..
sorry, English is not my native language, so I could state it incorrectly
No, your English is good. Regardless if from the front, or getting it from behind, in any event they will get that very point, or several points (the Punctuation will still be the same).
Your english may be too good. "Nailed from behind". That's a pun, son.
yes, the bankster gang will continue to flex its muscle on its perceived enemies because the world still revolves around its paper liquidity. they've got everyone on a short-term concern train. and this will continue until an alternative to it is demonstrated successful and viable.
It causes a disturbance in the Force.
The Squid is giving the Turks a little taste of what will happen if they cozy up to the Russians.
The Turks and the Russians have had bad blood going on four centuries. It's tough to believe that one would cozy up to the another. During the Cold War, the Turks may have been our most rabid NATO ally against the Russians.
The Turks have been in the oil business a lot longer than four centuries, and that whole "bridge"/"crossroads" thingy (physical, cultural, etc.) has been going on since forever... As long as Russia keeps the phallic blockade busting SLCMs on their cruisers and Turkey keeps both the Article 5 option against Russia and the NATO cock blocking option for Russia, why can't they play nice for a while and squeeze the Europeans for Profit!?
The Turks have been in the Oil business for more than four centuries? Really? I take it you're talking about another type of oil than crude oil, because that has only been a business since 1850 or so. And I don't think anyone even realized the Middle East had crude oil until 1930 or so.
Turkey used to own the Crimea, till Russia forced them out.
How do you think the oil got from Baku to the Med? - Turkish oil traders. (...granted one could also call them Ottomans)
1594 was more than 400 years ago (and a few hundred years before the "exceptionally" American-centric education system mistakenly credits Drake with drilling the first proven commercial well at Titusville).
It takes "crude" oil to refine kerosene, which was first documented over 1000 years ago, and drilled, refined, and internationally exported before the USSA was even born. If you want stick to modern private commercial drilling rigs, and the extraction and refining of the "crude" oil known and proven to be substantially the same as that which Drake struck, Caucasus Head Management beat him a by baker's dozen years.
I still contend that Russo-Turkish hostility has far more to do with territory than economics. But I guess we'll have to agree to disagree. The only way Turkey cozies up to Russia is if Erdogan thinks it will help him build his modern day Caliphate.
My depth on Ottoman relations with Russia (outside of the oil industry) isn't as strong as it should be, but...
Before he was bankrolling Nobel Prizes, Alfred Nobel and his family had the largest oil company in Russia and built the original Baku pipeline, and this was just a few years after making munitions for the Crimean War. More recently Putin "flipped" the Grand Mufti and President of Chechnya (not quite a caliphate, but...) between the 1st and 2nd Chechnyan Wars, along with the outcomes of those wars... So Vlad would appear to actually be "flexible" like Barry only claimed to be.
And since Erdogan can better finance his caliphate if there are pipeline(s) flowing through Turkey to the EU to skim... I think they could find a way to a relationship of "mutual convenience" and, more importantly, if they actually move in that direction... that Erdogan believes there is no realistic way for the Qataris to get what they are perceived to want, even with US backing.
they should have bought facebook shares like all the other central bankers. if you don't btfd then you are a fucking idiot.
I didn't either and I'll accept that moniker because I feel like one
KING DOLLAR!
On back of jobs/wage report, expect 130 JPY to USD, par to Euro, 19 Mexican Pesos to USD by June.
They need a new Constitution and Presidential scheme? Let me guess" He has a great idea where the current president gets to serve for life. And he has ultimate power.
When Turkey signed the deal with Russia for a gas pipeline replacing the planned South Stream pipeline, it should have been obvious that Turkey would end up in US crosshairs...SOON.
He's figured it out, now how about everyone else? I'll say it again. The New York Times "All the news that's print to fit."
I'm starting to like this Erdogan guy. He's flakier than a bowl of Raisin Bran. I predict many more quotable lines from him in the future.
The best part is he's right, which makes him sound even more nutty.
Hmm, flakes & nutz...
FIREBRANDER SAYS TO TURKEY'S ERDOGAN
STICK A FUKEN FORK IN IT!
Surprise???...
No "squeezing" here Mr. President!
What a sad little man. People on top are alwayss alone...
Who's the sad one? I like the truth being said, don't you? Erdogan has maybe had enough of the fucking joos so that makes him a sad man? LOL I'd say not.
Need Gartman's take on this.
What still amazes me with the MSM is the hypocrisy. Japan desperately tries to weaken its currency to help its economy yet cannot achieve much and we are told this is a bad thing. Russia sees its currency dive and we are told this is a bad thing. America sees its currency soar and we are told this is a bad thing. Turkey sees its currency dive and we are told this is also a bad thing...The MSM ends up looking stupid and the public have no idea what a good development with currencies is.
oil is the most liquid asset, low oil prices - no money in wolrd system +recod debt+ deflation+...
main problem - too many rich guys and too many poor
Something to do with Erdogan indicting and then pulling Gulen passport?
Turkey revokes passport of bitter Erdogan rival Gulenhttp://www.reuters.com/article/2015/02/03/us-turkey-gulen-idUSKBN0L71NW2...
Former Italian President Francesco Cossiga, one of the founders of the Italian Gladio, a code name denoting the clandestine NATO stay-behind operation in Italy after World War II, has said the Turkish Gladio was far away from the organization's center in Europe.
Turkey was on the Gladio coordination committee, but it was not on the political committee, he said, adding that the Turkish organization had a more independent structure.
http://www.todayszaman.com/national_former-italian-president-cossiga-say...
Greece wants more transit fees for the pipleine...
Greece wants more money for Trans-Adriatic Pipeline gas transit bypassing Russia.
TAS
As the EU cries foul...
RIA
Turkey was the center of the gold for oil trade with Iran. The US has been subverting Erdogan ever since. No choice for Turkey but to pivot east or back the Lira with pm's and kill it's central bank.
any Pivots will be to The Group of 77+China
looks like many haven't yet googled those words. these 3 links should be read to understand the freak-out coming from the West, mainly the IMF's SDR 4 (you should know who the 4 are, the chronic QE'ers)
I'll add a bit of text...please read..its from this past June, son aftr Russia&China made an agreement and the G77 (actually some 136 of the 197 recognized nations had their 50th anniversary)
http://panampost.com/marcela-estrada/2014/06/16/g77-developing-nations-denounce-us-imperialism-welcome-russia-china/Developing Nations Denounce US Imperialism, Welcome Russia, China Jun 16, 2014 - Over the weekend, the United Nation's Group of 77, joined by ... the Bolivian president publicly invited Russia to join the the bloc.
== http://www.whiteoutpress.com/articles/2014/q2/133-g77-nations-vow-destroy-americas-new-world-order/
133 G77 Nations vow to destroy America’s New World Order
June 17, 2014 The American and European media are doing everything they can to black this news out. But it’s not going to stay a secret for long. == http://www.whiteoutpress.com/articles/2014/q2/russia-china-deals-move-us-dollar-closer-collapse/
June 9, 2014 June 9, 2014. St. Petersburg, Russia. (ONN) Here’s a fact you will occasionally hear on America’s investment cable channels - the US Dollar should be completely worthless right now. If not for decades of tradition, convenience and the threat of military annihilation, the Dollar would be worthless now and the US possibly collapsed into revolution. China and Russia just took steps to make that happen by doing what America’s experts promised they never would. Because if they did, it would spell doom for America. Group of 77 and China http://www.g77.org/doc/members.html
Well, let's start at the top of the NY Times:
Arthur Ochs Sulzberger, Jr.Gee, another skull cap wearer.......
No Turkish cigars for Mr. Putin?
Would someone spark WWIII already, this is getting long drawn out!
"Prinzip" Erdogan could assasinate Putin .... or better Netanyahou .... on a state visit ?
looks like a few turkish guys are going to get beheaded for edrogan abandoning the tribe.
Erdogan making his bid for caliphate.
Most importantly...the ponzi central bankers are smashing gold and silver...every week same thing..
I don't tthink today is going to last. Just a hunch.
Not so sure it's (just) them, since it is the BRICS who benefit from buying gold real cheap.
I smell Beijing behind this.
Oh happy day,when Bibi comes! The right honourable Nutteryahoo needs to visit, lecture and scold the stubborn US congress, asap. Why? 1. America has to stop it's self-imposed, isolationist and non-interventionist policies in the middle-east and Ukraine, 2. Much more military and financial aid should be freely given to israel. 3. America should demand that the silly ICC,(UN's international criminal court) is done away with. Israel, for example, has it's own efficient and ideal legal system -- there is no need for any supra-national oversight. 4. Also, America's archaic notion of free speech, for it's citizens needs to be abandoned. Any anti-semitic diatribe should definitely be criminalized. Thoughts may be free, but why allow them to be expressed? ..... Finally. Oh joyous day when Bibi leaves ...... back to his unholy, zionist Fatherland.
The outbursts of 'spontaneous' applause from the Congresscritters will be like those for Stalin in the thirties or North Korea today. Eagle-eyed apparatchiks patrolling the aisles, keeping a beady eye out for anyone not displaying sufficient enthusiasm for their Dear Leader.
Those damned messengers!
actually they have a lot in common, besides the Russian Cossaks (from "Free Man" ie Kazakh) originated from Turk tribes mingling with landless Slav peasants, obvious from the dress and customs
So, not seeing any discussion on "new-york-times-owners" in this thread and being ignorant of the subject, I took Erdogan's advice to find out.
http://www.unc.edu/news/archives/oct00/jooct100300.htm
"Ochs and Sulzberger family, which has owned and managed The New York Times for more than 100 years."
Well, is there more?
well, ochs has a hedge fund saudis have invested in. S. family members live in nj.... near a friend, they invest for her, she is a cleaning lady that won the lotto. a 6 mil lotto. Ever read what happens to most lotto winners? broke in 3 years !
"Won the lotto. Broke in _ years."
You're talking about the House of Saud there, my friend!
It's bullshit like this that keeps all the morons motivated. Just take a look at how anyone who does not dance to the bankers tune, is automatically insane on so many levels.
What happens when you piss off all the other nations in a one world economy?
I share his opinion of the inbred idiot named pinch... Walter Duranty anyone? Still Erdogan is a frying pan bitching about a kettle..
Currency crashing?!?...That's competitive advantage, right? Think of all the jobs. Why the fretting? Bullish.
Hey now! Is Erdogan implying that the NYTimes owners are crypto Jews...
Publishing coach roaches that are hell bent on his downfall.
Fuck no......they are fascists no different from Erdogan and his minions of Fez wearing Islamic coach roaches. They all emerge from the same pile of shit just looked at from a different angle...but smell the same from everywhere.
http://finance.yahoo.com/news/russians-advised-pull-money-banks-14570052...
The president of Turkey is a major Muslim Brotherhood supporter and adherent He is slowly driving his country down the path of extremism.
Not only with this negatively affect his economy, but questions are already starting as to whether Turkery should remain a member of NATO.
Interesting times ahead.....
Gloves are coming off. Erdogan is just about to call a spade a spade.
The US is more and more isolated. Strongest economy on the planet, my ass.
Forcing the world to sell and trade its valuable resources for Mickey Mouse money under the jackboot of a globally oppressive military industrial complex. Currency that can be printed and counterfeited at whim. Allowing one nation of 330 million a comfortable lifestyle either on corporate or other welfare.
Coming out on top of the shit pile once again after setting the world on fire with its massive default on loans and derivatives in 2008/2009.
Fuck you, Nuland and fuck the US. Fuck the shylocks on Wall Street. It's US vs. the rest of the world. Watch and see it all implode before your eyes.
Oh my my, the Goebbels-Mohammedans out cheering their latest new found murdering Arab/Muslim leader. Public cyber-spooning is so, um gay.
ErDogen is a bitch for the tribe and he doest protest too much.
is "new york times owners" the new codeword for jews?
My guess is that financially picking on turkey by the west for getting in bed with Putin on the gas pipeline is more dangerous politically to the cabal than poking Putin with a sharp stick in Syria or Ukraine.
I suspect Turk intelligence has substantial details on nefarious mideast shenanigans (gladio +) employed by the west over decades. If allegiance to NATO and the west, already fragile due to isis/kurdish conflict in kurdish homelands, is further strained by a punishing fx attack, where is the incentive to further keep secrets from the broader western public exposure?
Is Putin's door not already open, the porch light on and welcome mat out for the Turks, the Greeks and anyone else reluctant to further retain/use Federal Reserve anti-Invasion coupons? Spill the beans Ergodan, nothing to loose and greater ottoman influence to gain as an exposer, a peace maker and a regional consolidator with Russian and far eastern support.
Is Erdogan going rogue? Turkey has been considered a reliable member of the US-dominated NATO camp for decades. Turkey was a key and compliant ally of the US and Europe during the Cold War. More recently, Turkey has been seen as a key part of the route of the Southern Gas Corridor for the NABUCCO/TANAP natural gas pipeline system which was intended by the US and EU to bring natural gas to Europe from the Middle East and Central Asia, and thus weaken Russia's hold on its 30% share of the EU natural gas market. NABUCCO/TANAP took a major hit when Azerbaijan announced in June, 2013 that it was choosing to send its Caspian Sea gas via the rival (and much smaller) TAP pipeline to Italy via Turkey. NABUCCO/TANAP seems to have died because of insufficient supply being available to justify the expense of the project. Syria's refusal to go along with pipelines from Qatar and Saudi Arabia across Syria had a major part in killing the project. Syria, an ally of Iran and of Iranian influence in Iraq, had signed a deal to allow a pipeline from Iran and Iraq to cross Syria and carry gas to Turkey and the Mediterranean. This is one of the main reasons the Free Syrian Army and then ISIS were set loose to unseat Assad.
Turkey has been a member of NATO since about 1952, and has been seeking admission to the EU for about 20 years. The EU put Turkey on its admissions list, but has kept finding excuses to delay membership.
Turkey regards itself as a natural leader of the Sunni Muslim world, putting it in competition with the House of Saud. Turkey regards itself as the natural successor to leadership of the Ottoman Empire. Turkey is also sensitive to any encroachment of Western religious or secular views that criticize Islam or Turkish social practices. What does it tell you about the sensitivities of a country when it has laws against "insulting Turkishness"?
Eastern Turkey, bordering Kurdistan in Iraq, has a large Kurdish population which has not always had a comfortable relationship with Ankara. The Kurds in Iraq fought against Saddam Hussein for greater autonomy in Iraq, and when Saddam was removed by the US-led invasion, the Kurds set up their independent territory of Kurdistan and took over large oil assets. The rise of Kurdistan was seen as a destabilizing threat to Turkey, given its recent history of a Kurdish rebellion in east Turkey. However, recently Turkey has been assisting Kurdistan by allowing its oil to move to export through Turkey's pipelines. Recently Turkey struck a deal with Baghdad over sharing revenues from Kurdistan's oil exports.
Turkey has a major grudge with the House of Assad in Syria since Syria gave safe haven to Kurd separatists who started an uprising in eastern Turkey in the 1980s. It took Turkey many years, much bloodshed and treasure, and much loss of international reputation before the uprising was put down. One of the reasons that Turkey went along with the US/EU/Israel/Sunni Arab creation of ISIS/ISIL/Islamic State was that it was supposed to remove Assad. Turkey has been a major supply route for ISIS. Since Russia has been supporting Assad, Turkey and Russia were seen as at odds.
Sunni Muslim Turkey is also a rival of Shiite Iran for political and military influence in the Middle East. Turkey seeks to counter Iran's influence over the government of Iraq, which helps to explain Turkey's support of Kurdistan. Russia's support of Iran is seen as another reason that Turkey should naturally be at odds with Russia.
Thus it comes as a shock to the US/EU/NATO bloc that Turkey has teamed up with Russia for Turk Stream. After the Turk Stream deal was announced, Erdogan told the EU that Turkey was not going to ask again for EU membership, and was not too happy about remaining a member of NATO. Later he indicated that Turkey might accept EU membership if the EU begged Turkey to join.
Turkey has recently made moves to join the Shanghai Cooperation Organization.
The recent moves by Erdogan indicate that he is turning Turkey eastward to the Eurasian Economic bloc and away from sole allegiance to the US/EU bloc. Erdogan seems emboldened by the partnership with Russia and his new status as the gas transit king for southern Europe. Gazprom announced on January 16, 2015 to the EU energy union czar, Sefcovic, that once Turk Stream is completed, Gazprom will shut off its trans-Ukraine pipelines to Europe, thus negating Ukraine's hold over the delivery of gas to the EU, and negating the powers the European Commission sought to employ against Russia and Gazprom in the EC's Third Energy Package (3rdEP). The 3rdEP was intended to force Gazprom to give part ownership and control over Gazprom's North Stream and proposed South Stream to the EC so the EC could give its cronies windfall profits at Gazprom's expense, and to cement the EC's bureaucratic control over all gas price and supply contracts with Gazprom. The Turk Stream developments and Erdogan's developing independence from the US and EU is causing panic attacks in Brussels and in NATO headquarters.
The mischief looks even more serious when one looks at the Russia/Turk Stream plan to end the line at a hub at the Turkey/Greece border, and Gazprom telling the EU that if it wants gas for southern Europe, the EU must build pipelines (at EU expense) to connect to the new hub. This provides an opportunity to Greece to demand transit fees for pipelines and gas across its territory, and if Greece leaves the EU, Greece will be exempt from the 3rdEP rules (as is Turkey, a non-EU member). Putin has muliplied the mischief factor by inviting Greece to leave the EU and join the Eurasian Economic Union, and then inviting the new Greek government to Moscow to discuss financing for Greece as Greece goes toe-to-toe with the Troika over its debts.
Anyone have any idea why the US/EU bloc might want to destabilize Erdogan's finances?