Turkish Lira Dives After Central Bank Unexpectedly Stands Pat

By Victor ReklaitisMarketsMarketWatch Pulse

The Turkish lira slumped against the dollar Tuesday after the country's central bank left a benchmark rate at 8%. A hike that would have supported the battered lira had been widely expected. The dollar was buying 3.7890 lira, a gain of roughly 1% from late Monday. The central bank has disappointed economists before. At its December meeting, the bank left interest rates unchanged, while an increase had been anticipated.

Copyright © 2017 MarketWatch, Inc.

Continue Reading Below