Posted on 08/16/2020 6:01:25 AM PDT by blam
It has been an miserable five years for Turkish citizens who have seen their purchasing power slashed by more than half, and it’s only getting worse.
The Turkish lira has cratered against the dollar and most developed currencies, plunging from 3 TRY per dollar, to a record low 7.37 last week after a brief and valiant attempt at imposing shadow capital control by Erdogan (who is now de facto head of the Turkish central bank) failed miserably at the end of July, and not even a draconian hike in overnight funding rates above 1000% last week (to crush the shorts) was able to prevent a plunge in the Lira to new all time lows.
As their currency implodes (in a nation that is becoming increasingly more “banana” with each passing day as Erdogan solidifies his takeover of every government institution, in the process turning off any potential foreign investors) Turks are discouraged from material purchases of dollars to hedge the collapse in their native currency due to some of the strictest capital controls on the planet, which has left them with just one option.
As Reuters reports, Hasan Ayhan followed his wife’s instructions last week and took their savings to buy gold at Istanbul’s Grand Bazaar as Turks scooped up bullion worth $7 billion in a just a fortnight while their currency went up in flames.
The retired police officer, hit by vivid memories of the 2018 currency crisis which saw the Lira lose 30% of its value virtually overnight, was among those playing it safe as he queued in the city’s sprawling covered market, where a screen showed the gold price rise by one Turkish lira ($0.1366) in just 10 minutes.
(snip)
(Excerpt) Read more at tradeforprofit.net ...
Oh no! How does this affect Trump’s substantial real estate holdings in Istanbul, and his long term policy relationship doing favors for Erdogan??
Wonder what might happen if Biden steals the election, are you going to keep your dollars in the bank?
Where does one put a million dollar IRA?
You forgot the SARCASM tag.
There is only one bet to take. That is to bet on America.
A fund mimicking the S&P index mimics America. In the long run, it will advance 6% per year. In the short run maybe several times that number as the Trump re election solidifies.
Toilet paper. Lots and lots of toilet paper.
Erdogan (who is now de facto head of the Turkish central bank) failed miserably...
Central Bankster failed miserably? Where’s the World Bank? Where’s the FED?
How can we have a nice Thanksgiving without Turkey?
Good luck trying to withdraw any substantial amount of cash at the bank. Chase limits cash to $3k at a time. Do the math...
How many banking days would it take to withdraw all of your cash?
I went in a few weeks ago to cash a check for small bullion purchase and got the rely “we don’t have much cash here. We have to order it to be sent to us. So you have to give us advance notice.”
I replied in not my inside voice “do all of your customers know that you don’t have their cash here?”
...”sir, please lower your voice”
They quickly cashed my check to move me doing
Heads up...there’s a warning in this message for those who need to know and are listening.
We continue to be concerned............if Russia attacks Turkey fron the rear, will Greece help?
Exactly!
.
Cranberries
are
Useless.
“Oh no! How does this affect Trump’s substantial real estate holdings in Istanbul, and his long term policy relationship doing favors for Erdogan??”
https://www.youtube.com/watch?v=zI_SBAkdKzc
Good song. No?
Time to go full caliphate.
LOL!
My dollars are buried in the woods in sealed Mason jars, of course.
Banks never have all the cash on hand to cover deposits. That’s not how banking works. But yes I agree that they should have a small inventory at all times.
I'll send you my address...
Metals.
Brass, copper, lead, and silver.
L
More winning!
The teller wouldn't cash it.
WHAT DO YOU MEAN BANK OF AMERICA WON'T CASH A CHECK DRAWN ON A BANK OF AMERICA ACCOUNT! IF BANK OF AMERICA WON'T HONOR A BANK OF AMERICA CHECK WHY WOULD ANYONE TRUST A CHECK DRAWN ON BANK OF AMERICA...
Nice acoustics in that branch in Pomona, I was just warming up when the branch manager magically appeared before the echos of my opening statement had died down and very quickly unruffled my feathers and made the teller cash the check.
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