Wild moves on Turkish lira

Turkish lira is losing ground again on Wednesday after gaining around 8% on Monday and Tuesday after the central bank limited liquidity in an attempt to prevent currency sell-off. As a result overnight rates soared above 1000% at one point today. However, investors fear that increased hostility towards foreign institutions ahead of local elections this Sunday could eventually cause adverse consequences. Other emerging markets are affected as well with USDZAR rising 1.6%, USDBRL 1.4% and USDMXN 0.9%.