TRY: one of the worst performing EM currencies - BBH
Analysts at Brown Brothers Harriman explained that the July 2016 coup attempt continues to reverberate in Turkey.
"It has led to an ongoing attack on the nation’s institutions, as President Erdogan continues to purge the military, police, academia, and civil service of suspected Gulenists. Erdogan can run again in 2019 and 2024 as a result of this year’s controversial constitutional referendum. The US-Turkey visa spat may be thawing, but relations between the two remain frayed. Given overall strained relations with the West, Turkey is tilting more towards Russia. EU entry is very unlikely for the foreseeable future. Against this backdrop, the economic fundamentals are weak. Usable FX reserves remain very low even as the nation remains highly dependent on hot money flows. It's no coincidence that the worst performing EM currencies this past month have been TRY, BRL, COP, ZAR, and MXN"