Turkish lira dives after inconclusive Erdogan-Biden meeting
Propelled by optimism over a possible S-400 missile compromise, Turkey’s lira slid Tuesday after the first meeting between US President Joe Biden and Turkish President Recep Tayyip Erdogan ended without clear progress.
ISTANBUL — Turkey’s lira fell as much as 1.5% Tuesday after a highly anticipated meeting on Monday between US President Joe Biden and his Turkish counterpart Recep Tayyip Erdogan ended without clear progress on bilateral tensions.
The two leaders met for the first time as presidents on the sidelines of the NATO summit in Brussels, and while both relayed positive statements following the talk, markets reacted negatively on unmet expectations over a compromise regarding Ankara’s 2019 acquisition of Russian-made S-400 missiles, which remain a key point of contention in US-Turkey relations.
The lira dove to 8.58 against the dollar early Tuesday, erasing gains made last week on investor optimism ahead of the meeting. The currency’s slide began shortly after Erdogan reiterated his views on keeping the S-400 missiles in Turkey in comments to reporters Monday evening.
“Our thoughts on the S-400 are the same as before; I relayed our same thoughts to Mr. Biden,” Erdogan said.
