# How a currency meltdown in Turkey threatens Europe

> The Turkish lira plunged as much as 17% against the dollar. The decline reflected tensions with the United States and Turkish authorities' reluctance to raise interest rates.

- Date: 2018-08-10 · published 2018-08-10T12:00:00.000Z
- Category: macro · region Turkey · magnitude medium
- Page: https://feedsoft.ai/events/11062-how-a-currency-meltdown-in-turkey-threatens-europe
- Commodities: [US Dollar (Broad)](https://feedsoft.ai/c/DXY.md)

## Why it matters

A sharp lira drop signals emerging-market stress and dollar strength, which can weigh on dollar-priced commodity demand from importing countries.

## Read by commodity

- DXY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| DXY | 2016-11-14 | [Emerging market bond, currency markets face ‘meltdown’ after Trump's win](https://feedsoft.ai/events/74153-emerging-market-bond-currency-markets-face-meltdown-after-trump-s-win.md) | +1.4% | +0.8% |
| DXY | 2019-11-28 | [EUR: The funding currency \| articles \| ING THINK](https://feedsoft.ai/events/56282-eur-the-funding-currency-articles-ing-think.md) | -0.6% | -1.8% |
| DXY | 2024-03-28 | [Currency Markets: A Decline in the Euro to Parity With the Dollar Beckons - Bloomberg](https://feedsoft.ai/events/31420-currency-markets-a-decline-in-the-euro-to-parity-with-the-dollar-beckons.md) | +0.0% | +1.6% |
| DXY | 2018-05-28 | [Why are Turkey's and Argentina's currencies in free fall?](https://feedsoft.ai/events/65310-why-are-turkey-s-and-argentina-s-currencies-in-free-fall.md) | +0.2% | +1.5% |
| DXY | 2016-11-18 | [Euro record losing streak: what's behind the drop in the single currency?](https://feedsoft.ai/events/74036-euro-record-losing-streak-what-s-behind-the-drop-in-the-single-currency.md) | +1.0% | +1.3% |

## Sources

- money.cnn.com: https://money.cnn.com/2018/08/10/news/economy/turkish-lira-dollar-usd/index.html

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.