Fears For Spread Of Turkish FX Crisis


ISTANBUL--Investors fear Turkey's financial crisis will spread to other markets, say analysts. On February 22, Turkey abandoned its currency regime that tied the lira to the euro and US dollar, and adopted a free-floating currency.

Julian Jessop, economist at Standard Chartered in London, says the move could have a continued negative impact on the euro because European banks, especially German banks, have the greatest exposure in Turkish markets.

He also says the crisis could spread to other e