Lira Dives 10% at Open, Turkish Banks Now Insolvent: Get Your Money Out Now!

Warning to Turkish Citizens: Get Your Money Out Now!

Zerohedge reports Turkish Lira Crashes Through 7 as Erdogan Threatens To Unleash "Plan B or C..."

Following emergency bank meetings and numerous pleas by Erdogan for Turks not to "pull FX out of their banks," blaming the country's current economic crisis on America, the Lira has opened massively weaker - crashing below 7.00 per dollar for the first time ever.

"I’m calling out to industrialists, do not attack banks to buy FX," said Turkish President Recep Tayyip Erdogan in a speech in Trabzon.

"It is industrialists’ duty too to keep this nation on its feet. Otherwise we will set into motion our plan B and C," he added.

Reuters reports a low level of 7.22 - all of which implies the Turkish banking system is done.

As Goldman Sachs warned, further lira depreciation to 7.1 would erode all of Turkey's banks' excess capital.

Turkish Lira on Hyperinflation Path

Plan B or C

I suggest one of then is capital controls​. Hyperinflation may easily set in. If you have money in Turkish banks, take it out now, if you can.

Mike "Mish" Shedlock

Comments (19)
No. 1-16
Roger_Ramjet
Roger_Ramjet

So currencies are starting to collapse, one by one, yet the collective wisdom is to short gold????

Stuki
Stuki

So, when is Trump going to sanction Turkey; for manipulating their currency?

lol
lol

"Get your money out now"lol MS!Anyone that still has cash in Turkish banks is beyond stupid...….That money is gone (long gone)!

Six000mileyear
Six000mileyear

Industrialists and smart money have already pulled their money out of Turkey; either by purchasing capital equipment overseas and then expanding operation outside of Turkey, or by purchasing gold. They've been doing that for nearly 30 years when this exponential trend began. This is the end of the trend, so people without financial accounts having international access are left. That isn't enough demand to move the gold market. Turkish debt collapse is what will ripple through the global financial system.

Jojo
Jojo

I have no money in Italian or Turkish banks, so nothing to take out. Have I missed out on something?