1 Big Thing: Sanctions on Turkey not helping crisis go away
Yesterday, I wrote about a late May interview with Russell Napier that hit on Turkey as a weak link in emerging markets. This is a view I share. But I would say that the Turkish lira is, if anything, undervalued on a fundamental basis. Given the right policies and circumstances, we could see a rally. But, so far, nothing the Turks have done inspires confidence.
Today though, it's interesting to see a New York Times article on Turkey that underlines my point on Iran yesterday that often sanctions "serve to maintain a power structure by defining an external enemy looking to wreak havoc on the lives of ordinary people. "
Here's what the Times says that's relevant:
Supporters of Mr. Erdogan took to Twitter with the hashtag #Em...
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Edward Harrison is the founder of Credit Writedowns and a former career diplomat, investment banker and technology executive with over twenty five years of business experience. He has also been a regular economic and financial commentator in print and on television for the past decade. He speaks six languages and reads another five, skills he uses to provide a more global perspective. Edward holds an MBA in Finance from Columbia University and a BA in Economics from Dartmouth College.