Tag Archives: Istanbul

Twenty oil tankers halted near Istanbul in insurance dispute

  • Backlog unsettling oil and tanker markets
  • Turkey says out of question to take insurance risk
  • Yellen says oil from Kazakhstan should not be targeted
  • Ankara says most of waiting ships are EU vessels

ISTANBUL, Dec 9 (Reuters) – The number of oil tankers waiting in the Black Sea to pass through Istanbul’s Bosphorus Strait on the way to the Mediterranean rose to 20 on Friday, Tribeca shipping agency said, as Turkey held talks to resolve an insurance dispute behind the build-up.

Dismissing pressure from abroad over the lengthening queue, Turkey’s maritime authority said on Thursday it would continue to block oil tankers that lacked the appropriate insurance letters, and it needed time for checks.

The ship backlog is creating growing unease in oil and tanker markets and comes as the G7 and European Union introduce a price cap on Russian oil. Millions of barrels of oil per day move south from Russian ports through Turkey’s Bosphorus and Dardanelles straits into the Mediterranean.

The maritime authority said that in the event of an accident involving a vessel in breach of sanctions it was possible the damage would not be covered by an international oil-spill fund.

“(It) is out of the question for us to take the risk that the insurance company will not meet its indemnification responsibility,” it said, adding that Turkey was continuing talks with other countries and insurance companies.

It said the vast majority of vessels waiting near the straits were EU vessels, with a large part of the oil destined for EU ports – a factor frustrating Ankara’s Western allies.

The G7 group of nations, the EU and Australia have agreed to bar providers of shipping services, such as insurers, from helping to export Russian oil unless it is sold at an enforced low price, or cap, aimed at depriving Moscow of wartime revenue.

However, Turkey has had a separate measure in force since the start of the month requiring vessels to provide proof of insurance covering the duration of their transit through the Bosphorus strait, or when calling at Turkish ports.

KAZAKH OIL

Eight tankers were also waiting for passage through the Dardanelles strait into the Mediterranean, down from nine a day earlier, Tribeca said, making a total of 28 tankers waiting for southbound passage.

Most of the tankers waiting at the Bosphorus are carrying Kazakh oil and Treasury Secretary Janet Yellen said on Thursday the U.S. administration saw no reason that such shipments should be subjected to new procedures.

Washington had no reason to believe Russia was involved in Turkey’s decision to block ship transits, she added.

Turkey has had to balance its good relations with both Russia and Ukraine since Moscow invaded its neighbour in February. It played a key role in a United Nations-backed deal reached in July to free up grain exports from Ukrainian Black Sea ports.

Turkey’s maritime authority said that it was unacceptable to pressure Turkey over what it said were “routine” insurance checks and that it could remove tankers without proper documentation from its waters or require them to furnish new P&I ship insurance letters covering their journeys.

Reporting by Daren Butler, Can Sezer, and Jonathan Saul in London
Editing by Himani Sarkar, Clarence Fernandez, Jonathan Spicer and Frances Kerry

Our Standards: The Thomson Reuters Trust Principles.

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11 killed in Syria after Turkey launches aerial campaign in response to Istanbul bombing



CNN
 — 

Eleven people have been killed in Syria, including one journalist, after Turkish warplanes carried out an “air operation” in the country and neighboring Iraq late Saturday, according to an official from the US-backed Syrian Democratic Forces (SDF). There have not been any casualties reported from the Iraqi side.

Turkey’s new cross-border offensive, dubbed “Operation Claw-Sword” by its defense ministry, targets the Kurdistan Worker’s Party (PKK), PYD People’s Defense Units (YPG), and Union of Communities in Kurdistan (KCK), reported state-run news agency Anadolu.

The campaign follows a deadly explosion in the heart of Istanbul a week ago, which Turkish officials said Kurdish separatists were responsible for, a claim denied by Kurdish groups. That attack killed at least six people and injured at least 81 others.

Turkish fighter jets conducted airstrikes around Kobani, Dahir al-Arab village and al-Beilonya, SDF head of media, Ferhad Shami, said via Twitter.

Shami said the strikes impacted north and eastern Syria, destroying a hospital in Kobani and a power station in Derik, as well as destroying grain silos in Dahir al-Arab.

An eyewitness told CNN warplanes conducted airstrikes near Tal Rifaat city, in the northern countryside of Aleppo, which is controlled by the YPG.

Turkey’s defense minister congratulated his country’s air force Sunday for the “successful” air operation, according to Anadolu.

“Terrorists’ shelters, bunkers, caves, tunnels, and warehouses were successfully destroyed. We followed them closely. The so-called headquarters of the terrorist organization were also hit and destroyed,” Hulusi Akar said in an address from the capital Ankara, Anadolu reported.

Both Turkey and the United States consider the PKK a terrorist organization. The two countries disagree on the status of the military wing of the YPG, which has been a US ally in the fight against ISIS in Syria, but Turkey considers it the Syrian extension of the PKK.

A woman has been detained under suspicion of carrying out the deadly blast in Istanbul last Sunday. She has been identified as a Syrian national who was trained by Kurdish militants, according to Turkish authorities.

Officials from the SDF, the YPG and the People’s Defense Forces (HPG), which is the armed wing of the PKK, have all denied involvement in the attack.

Meanwhile Bulgarian prosecutors have brought charges against five people for supporting terrorist acts in connection with the blast.

Charges have been brought against the five individuals for two crimes, Bulgarian Supervising Prosecutor Anglel Kanev told reporters Saturday. “One [is being in] an organized crime group for trafficking and human trafficking. The other is, according to article 108A in the criminal code, generally speaking, aiding to a certain extent at a certain moment, terrorist activities.”

All of the suspects are foreign nationals, and one has dual Bulgarian citizenship, Kanev said.

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Turkish jets hit targets in Syria, Iraq after Istanbul bomb blast | Turkey-Syria Border News

Kurdish fighters report ‘deaths and injuries’ after Turkish air raids hit Kobane and two villages housing people displaced by war in Syria.

Turkish military planes have hit targets in northern Syria and Iraq, bombing bases Turkey’s defence ministry claimed were used by those behind an explosion in central Istanbul last weekend that killed six people and wounded more than 80.

The Turkish defence ministry announced the launch of the raids in a statement on Twitter on Sunday.

“The hour of reckoning has come,” the Turkish defence ministry tweeted early on Sunday, along with a photo of a military plane taking off on a night-time operation, adding that those who had perpetrated the “treacherous attacks” would be held accountable.

Ankara has blamed the November 13 bomb attack in Istanbul on the outlawed Kurdistan Workers Party (PKK) and affiliated Syrian Kurdish groups. Kurdish fighters have denied involvement.

In another post accompanied by a video showing a target being selected followed by an explosion, the defence ministry said it was using “precision strikes” to destroy “terrorist hotbeds”.

“In line with our self-defence rights arising from Article 51 of the United Nations Charter, the Pence Kilic air operation was carried out in the regions in the north of Iraq and Syria which are used as bases for attacks on our country by terrorists,” the ministry said.

Turkey and the United States both consider the PKK a “terrorist” group, but disagree on the status of the Syrian Kurdish groups that have been allied with Washington in the fight against the ISIL (ISIS) group in Syria.

The US State Department had said on Friday it feared possible military action by Turkey, advising its nationals not to travel to northern Syria and Iraq.

While Ankara did not give exact details of the overnight operation, the Kurdish-led Syrian Democratic Forces (SDF) said the Turkish air raids had hit Kobane (Ayn al-Arab) in northeast Syria.

Kobane, a Kurdish-majority town near the Turkish border, was captured by ISIL (ISIS) in late 2014 before Kurdish fighters drove them out early the following year.

“Kobane, the city that defeated ISIS, is subjected to bombardment by the aircraft of the Turkish occupation,” tweeted Farhad Shami, head of the SDF media centre.

The SDF spokesperson later said two villages populated with internally displaced persons (IDPs) in northern Syria had been hit.

“The Turkish occupation aircraft are shelling the al-Beilonya village which is heavily populated with Afrin IDPs who were forcibly displaced from Afrin in 2018,” he said.

“In addition to the Dahir al-Arab village, which is populated with Ras al-Ain IDPs who were also forcibly displaced by the Turkish occupation in 2019,” he added.

The air attacks had resulted in “deaths and injuries”, he said, without specifying the toll.

The head of SDF, Mazloum Abdi, wrote on Twitter that the attacks threatened the whole region and called on people in the targeted areas to remain in their homes and await instruction from security forces.

There were no immediate comments from the governments of Syria or Iraq.

Turkey has launched three major cross-border operations in Syria since 2016 and already controls some territories in the north.



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Turkey says Istanbul bomb suspect is Syrian national with ties to Kurdish groups



CNN
 — 

The woman detained under suspicion of carrying out the deadly bomb blast in Istanbul on Sunday is a Syrian national who was trained by Kurdish militants, according to Turkish authorities.

Turkish police said in a statement that the suspect entered the country through the city of Afrin in northern Syria without documentation to carry out the attack in the heart of Turkey’s largest city, which killed at least six people and injured more than 80 others.

Officers scanned 1,200 security cameras to determine the route of the suspected attacker, who is alleged to have planted the bomb at the scene before leaving in a taxi, according to the statement. Some 46 people were detained, the police added.

Turkey’s Interior Minister Suleyman Soylu said earlier the government believed Kurdish separatists from the Kurdistan Worker’s Party (PKK) and the Democratic Union Party (PYD) were most likely responsible for the assault, a claim denied by the PKK’s armed wing.

“It is PKK/PYD terrorist organization according to our preliminary findings,” Soylu said in a press conference at the scene of the attack on Istiklal Avenue. He did not elaborate or provide details of how investigators had reached this conclusion.

The police added: “In her interrogation, the person stated that she was trained as a special intelligence officer by the PKK/PYD/YPG terrorist organization and that she entered our country illegally through Afrin for this attack.”

The People’s Defense Forces (HPG), the armed wing of the PKK, denied involvement in Sunday’s explosion, according to a statement from the group carried by pro-PKK outlet Agence News Firat (ANF).

“We offer our condolences to the relatives of the victims and wish the injured a speedy recovery. We have nothing to do with this incident,” the group said, according to ANF.

A spokesperson for the armed Kurdish People’s Protection Units (YPG) and the General Commander of the Syrian Democratic Forces (SDF), Mazloum Abdi, also denied involvement in Sunday’s attack. The US-allied SDF is the official defense force of the Autonomous Administration of North and East Syria and its armed forces are led by the YPG.

Turkey’s conflict with Kurdish separatist groups has spanned four decades and claimed tens of thousands of lives. The PKK, which seeks an independent state in Turkey, has been designated a terrorist organization by Turkey, the United States and the European Union.

Security camera footage of Sunday’s incident shows a woman sitting on a bench for more than 40 minutes and then getting up one or two minutes before the explosion, leaving a bag or plastic bag behind, Turkish Justice Minister Bekir Bozdag told the A Haber news channel on Sunday.

The explosive TNT was detected on citizens who lost their lives, on the vehicle that the suspect used and at the crime scene, according to chemical analysis conducted by police.

The blast happened on Istiklal Street in Beyoglu Square, Istanbul Governor Ali Yerlikaya said.

“We wish God’s mercy on those who lost their lives and a speedy recovery to the injured,” Yerlikaya tweeted.

The six people killed include Yusuf Meydan, a member of Turkey’s Ministry of Family and Social Services, and his daughter Ecrin, according to Derya Yanık, the minister of the agency.

Soylu told reporters Monday that 50 of the 81 people injured have been discharged from the hospital, with 31 people still being treated.

Witness Tariq Keblaoui said he was shopping on Istiklal Street when the explosion happened about 10 meters (32.8 feet) ahead of him.

“People were scattering immediately,” said Keblaoui, a Lebanese-based journalist who was on his last day of vacation in the city.

“Very shortly after, I could see how many injured were on the ground,” Keblaoui told CNN. He says he saw dead bodies and victims who were seriously injured.

“There was a man in the store bleeding from his ears and his legs, and his friends were crying near him,” Keblaoui said.

Istiklal Street was packed with visitors when the blast happened Sunday afternoon, he said.

“It went very quickly from a very peaceful Sunday with a very crowded street full of tourists to being what looked like the aftermath of a war zone,” Keblaoui said.

Global leaders united in condemning the attack.

NATO Secretary General Jens Stoltenberg tweeted his “deepest condolences” to the Turkish people, while French President Emmanuel Macron said: “To the Turks: we share your pain. We stand with you in the fight against terrorism.”

Ukrainian President Volodymyr Zelensky tweeted of his “deep sadness” at the news of the blast. “I offer my condolences to the families of those who lost their lives and wish a speedy recovery to the injured,” Zelensky said. “The pain of the friendly Turkish people is our pain.”

The United States “strongly condemns the act of violence that took place today in Istanbul,” White House Press Secretary Karine Jean-Pierre said Sunday. “Our thoughts are with those who were injured and our deepest condolences go to those who lost loved ones.”

Soylu rejected the message of condolence from the White House regarding the attack, saying, “Our alliance with a country Whose Senate sends funds to this mentality that provides funds for Kobani and other terror areas and aims to disrupt the peace in Turkey should be questioned. That much is clear.”

CNN has reached out to the US State Department for comment on Soylu’s remarks.

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Turkish police arrest suspect in Istanbul bombing | News

Interior minister says police have arrested ‘the person who left the bomb’ that exploded on Istanbul’s Istiklal Avenue.

Turkish police have arrested a suspect in the bombing in central Istanbul that left at least eight people dead and 81 others wounded, according to an official.

Interior Minister Suleyman Soylu told reporters on Monday that the suspect in custody was the “person who left the bomb that caused the explosion” on a busy thoroughfare in Turkey’s largest city.

Soylu blamed the outlawed Kurdistan Workers Party (PKK) for Sunday’s blast on Istiklal avenue, saying “Our assessment is that the order for the deadly terror attack came from Ayn al-Arab in northern Syria” where he said the group has its Syrian headquarters.

“We will retaliate against those who are responsible for this heinous terror attack,” he said, adding that the death toll has risen from six to eight and that 81 people had been wounded, with two of them in “critical condition”.

No group has claimed responsibility for the blast yet.

Turkish President Recep Tayyip Erdogan on Sunday described the explosion as “treacherous” and said it “smells like terrorism”. Speaking before his departure to the Group of 20 summit in Indonesia, Erdogan said initial information suggested that a “woman had played a part” in the attack.

Justice Minister Bekir Bozdag told A Haber television later on Sunday that the woman was seen sitting on one of the benches on Istiklal Avenue for more than 40 minutes.

The explosion occurred just minutes after she got up, he said.

“There are two possibilities,” he told A Haber. “There’s either a mechanism placed in this bag and it explodes, or someone remotely explodes [it]”.

Al Jazeera has obtained pictures of the woman suspected to be behind the bombing.

 

Soylu’s announcement on Monday did not add any details about the woman.

Istanbul and other Turkish cities have been targeted in the past by Kurdish separatists, ISIL and other groups, including in a series of attacks in 2015 and 2016.

These include twin bombings outside an Istanbul soccer stadium in December 2016 that killed 38 people and wounded 155. The attack was claimed by an offshoot of the PKK, which has kept up a deadly campaign for Kurdish self-rule in southeastern Turkey since the 1980s and is designated a terrorist group by Turkey, the European Union and the United States.

Regularly targeted by Turkish military operations, the group is also at the heart of a tussle between Sweden and Turkey, which has been blocking Stockholm’s entry into NATO since May, accusing it of leniency towards the PKK.

Condemnations of Sunday’s attack and condolences for the victims rolled in from several countries including Greece, Egypt, Ukraine, the United Kingdom, the US, Azerbaijan, Italy and Pakistan.

Greece “unequivocally” denounced the blast and expressed condolences, while the United States it stood “shoulder-to-shoulder with our NATO ally in countering terrorism”.

French President Emmanuel Macron said in a message to the Turks: “We share your pain. We stand with you in the fight against terrorism”.

Ukrainian President Volodymyr Zelenskyy also tweeted in Turkish: “The pain of the friendly Turkish people is our pain.”

European Council President Charles Michel also sent condolences, tweeting: “My thoughts are with the victims and their families.”

 

 

 



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Istanbul blast that killed 6 and injured 81 is considered a terrorist attack, Turkish vice president says


Istanbul
CNN
 — 

An explosion that killed at least six people and injured at least 81 others in Istantbul on Sunday has been deemed a terrorist attack, Turkish Vice President Fuat Oktay said, according to state news agency Anadolu.

“We consider it to be a terrorist act as a result of an attacker, whom we consider to be a woman, detonating the bomb,” Oktay told reporters Sunday.

The blast happened on Istiklal Street in Beyoglu Square, in the heart of Turkey’s largest city, Istanbul Governor Ali Yerlikaya said.

“We wish God’s mercy on those who lost their lives and a speedy recovery to the injured,” Yerlikaya tweeted.

Earlier Sunday, Turkish President Recep Tayyip Erdogan said the explosion might be terror-related, but he was not yet certain.

“It may be wrong if we say this is definitely terror, but according to preliminary findings, what my governors told us, that there is a smell of terror here,” Erdogan said at a news conference.

He said authorities were reviewing CCTV footage.

“All the responsible figures will be identified and punished,” the president said.

Erdogan said he and his delegation would continue plans to attend the G20 summit in Bali, Indonesia.

Istanbul’s Chief Public Prosecutor’s Office has launched an investigation, with five public prosecutors assigned, the country’s official Anadolu news agency reported.

The city’s criminal court issued a broadcast ban on all visual and audio news, as well on social media sites, related to the explosion, Anadolu added.

Local media reports and images from the area showed a large number of emergency vehicles in the aftermath of the blast. Some people could be seen fleeing the scene, and the area was being cordoned off by security services.

One witness, journalist Tariq Keblaoui, told CNN he was in a store on Istiklal Street when the explosion occurred about 10 meters ahead of him.

He said several people could be seen lying on the ground following the blast.

The extent of the injuries of those he saw was not clear, but several people were bleeding from their legs and arms, Keblaoui said.

He said Istiklal Street, a popular tourist area, was heavily crowded on Sunday. Istiklal Street is one of the main streets leading to Taksim Square.

Istanbul Mayor Ekrem Imamoglu called for assistance for police and health worker teams as they respond to the explosion.

“It is essential to assist our police and health teams regarding the explosion on Istiklal Street, and to avoid posts that may cause fear and panic. All relevant teams are in the region, we will provide healthy information,” he tweeted.

News of the explosion was met with dismay internationally.

“Horrific news from Istanbul tonight. Condolences to the victims of the explosion at Istiqlal,” European Council President Charles Michel said. “All our thoughts are with those currently responding and the people of Türkiye at this very distressing time.”

NATO Secretary General Jens Stoltenberg tweeted his “deepest condolences” to the Turkish people, adding that NATO “stands in solidarity with our ally” Turkey.

Austrian President Alexander Van der Bellen expressed his “sincere condolences to the people of Turkey and the citizens of Istanbul,” adding: “In view of the horrific explosion this afternoon in the heart of Beyoğlu my thoughts are with the families of the victims. Wishing a speedy recovery to all injured.”

Italian Foreign Minister Antonio Tajani said: “Italy expresses its closeness to the Turkish government and people and its heartfelt condolences for the innocent victims. Our crisis unit is monitoring the situation and contacting our compatriots.”

Ukrainian President Volodymyr Zelensky tweeted of his “deep sadness” at the news of the blast. “I offer my condolences to the families of those who lost their lives and wish a speedy recovery to the injured,” Zelensky said. “The pain of the friendly Turkish people is our pain.”



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Six dead in Istanbul blast, Erdogan says it ‘smells like terrorism’

  • Explosion on busy pedestrian avenue wounds 53
  • Erdogan calls it a bomb, vows culprits to be punished
  • No one has claimed responsibility for blast
  • Turkish cities were targeted in series of attacks in 2015-2016

ISTANBUL, Nov 13 (Reuters) – Six people were killed and 53 others were wounded on Sunday when an explosion rocked a busy pedestrian street in central Istanbul in what Turkish President Tayyip Erdogan called a bomb attack that “smells like terrorism”.

Ambulances raced to the scene on the packed Istiklal Avenue, which police had quickly cordoned off. The area, in the Beyoglu district of Turkey’s largest city, had been crowded as usual at the weekend with shoppers, tourists and families.

Video footage obtained by Reuters showed the moment the blast occurred at 4.13 p.m. (1313 GMT), sending debris into the air and leaving several people lying on the ground, while others fled the scene.

“Efforts to defeat Turkey and the Turkish people through terrorism will fail today just as they did yesterday and as they will again tomorrow,” Erdogan told a news conference in Istanbul.

“Our people can rest assured that the culprits behind the attack will be punished as they deserve,” he said, adding that initial information suggested “a woman played a part” in it.

“It would be wrong to say this is undoubtedly a terrorist attack but the initial developments and initial intelligence from my governor is that it smells like terrorism,” he added.

Nobody has claimed responsibility for the blast. But Istanbul and other Turkish cities have been targeted in the past by Kurdish separatists, Islamist militants and other groups, including in a series of attacks in 2015 and 2016.

‘PEOPLE FROZE’

Reuters footage showed people attending to victims after the blast, and later investigators in white outfits collecting material from the scene, where pieces of a concrete planter were scattered on the avenue.

“When I heard the explosion, I was petrified, people froze, looking at each other. Then people started running away. What else can you do,” said Mehmet Akus, 45, a worker in a restaurant on Istiklal.

“My relatives called me, they know I work on Istiklal. I reassured them,” he told Reuters.

A helicopter flew above the scene and a number of ambulances were parked in nearby Taksim Square. The Turkish Red Crescent said blood was being transferred to nearby hospitals.

If confirmed, it would be the first major bomb blast in Istanbul in several years.

Twin bombings outside an Istanbul soccer stadium in December 2016 killed 38 people and wounded 155 in an attack claimed by an offshoot of the militant Kurdistan Workers Party (PKK).

Condemnations of the attack and condolences for the victims rolled in from several countries including Greece, Egypt, Ukraine, Azerbaijan and Pakistan.

European Council President Charles Michel said on Twitter he had sent condolences to victims after the “horrific news”.

Additional reporting by Ece Toksabay in Ankara, writing by Jonathan Spicer; Editing by Gareth Jones

Our Standards: The Thomson Reuters Trust Principles.

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Deadly blast rocks busy area in central Istanbul | News

DEVELOPING STORY,

Eleven people reportedly wounded in a blast on Istiklal Avenue, a pedestrian thoroughfare in Turkey’s biggest city.

An explosion on Istanbul’s popular pedestrian Istiklal Avenue has left people dead and injured, a senior official has said.

Istanbul Governor Ali Yerlikaya tweeted that the explosion occurred at about 4:20 pm (13:20 GMT) on Sunday and that there were deaths and injuries, but he did not say how many. The cause of the explosion was not clear.

“There are strong suspicions that this was a suicide bomb, but we don’t have any official statement yet [on that],” Al Jazeera’s Sinem Koseoglu said from Istanbul.

Broadcaster CNN Turk said in an early report that 11 people were injured.

A video posted online showed flames erupting and a loud bang, as pedestrians turned and ran away.

Other footage showed ambulances, fire trucks and police at the scene. Social media users said shops were shuttered and the avenue closed down.

The avenue is a crowded thoroughfare popular with tourists and locals, lined by shops and restaurants.

Ambulances and security on Istiklal Avenue in Istanbul [Kemal Aslan/Reuters]

Turkey was hit by a string of deadly bombings between 2015 and 2017 by ISIL (ISIS) and by the outlawed Kurdistan Workers’ Party (PKK).

Al Jazeera’s Koseoglu said the explosion comes as a shock, as there have not been any recent warnings over attacks in the city.

“But security measures have remained high in the area,” she said.

More to follow.



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Investors brace for possible rate cut amid Turkey’s 80% inflation

An electronic board displays exchange rate information at a currency exchange bureau in Istanbul, Turkey, on Monday, Aug. 29, 2022.

Nicole Tung | Bloomberg | Getty Images

Investors are bracing for another potential interest rate cut – or simply a hold on the current rate – as Turkey refuses to follow economic orthodoxy in battling its soaring inflation, now at more than 80%.  

Or indeed, the investors that can still stomach Turkey’s market volatility.

The Eurasian hub of 84 million people – which many major banks in Europe and the Middle East still have sizable exposure to, and which is highly exposed to geopolitical tensions – witnessed major market turbulence in recent days, on top of the dramatic currency drops of the last few years. 

This week saw a major rout in Turkey’s stock market, the Borsa Istanbul, with Turkish banking stocks diving 35% over the week ending last Monday, after clocking a stratospheric 150% rally between mid-July and mid-September. It prompted regulators and brokers to hold an emergency meeting, though ultimately they decided not to intervene in the market.

The cause of the volatility? First, Turkey’s high inflation had pushed investors to pour their money into stocks to protect the value of their assets. But it was fear of higher U.S. inflation, and consequent rate hikes from the Federal Reserve, that likely triggered the sudden downward turn, analysts believe. 

The drop wiped out more than $12.1 billion in market value from the country’s publicly-listed banks. 

Russians tourists to Europe decreased dramatically over the summer, but rose in several other destinations, including Turkey (here).

Onur Dogman | Sopa Images | Lightrocket | Getty Images

This is because higher interest rates set by the U.S. and a resulting stronger dollar spell trouble for emerging markets like Turkey that import their energy supplies in dollars and have large dollar-denominated debts, and thus will have to pay more for them. 

The market rout prompted margin calls, which is when brokerages require investors to add money into their positions to buffer the losses in stocks they bought on “margin,” or borrowed money. That caused the selling to spiral further, until Turkey’s main clearing house, Takasbank, announced on Tuesday an easing of requirements for the collateral payments on margin trading. 

Banking stocks and the Borsa as a whole rebounded slightly on the news, with the exchange up 2.43% since Monday’s close as of 2:00 p.m. in Istanbul. The Borsa Istanbul is still up 73.86% year-to-date.

Soaring inflation: what next from the central bank?  

But analysts say the exchange’s positive performance is not in line with Turkey’s economic reality, as they look ahead to the Turkish central bank’s interest rate decision on Thursday. 

Faced with inflation at just over 80%, Turkey shocked markets in August with an interest rate cut of 100 basis points to 13% – sticking to President Recep Tayyip Erdogan’s staunch belief that interest rates will only increase inflation, counter to widely held economic principles. This is all taking place at a time when much of the world is tightening monetary policy to combat soaring inflation. 

Country watchers are predicting another cut, or at most a hold, which likely means more trouble for the Turkish lira and for Turks’ cost of living. 

Economists at London-based Capital Economics predict a 100 basis-point rate cut. 

“It’s clear that the Turkish central bank is under political pressure to abide by Erdogan’s looser monetary policy, and it’s clear Erdogan is more focused on growth in Turkey, and not so focused on tackling inflation,” Liam Peach, a senior emerging markets economist at Capital Economics, told CNBC. 

“While the Turkish central bank is under such pressure, we think it will continue with this cycle of cutting interest rates for maybe one or two more months … the window of cutting rates is small.”

Timothy Ash, an emerging markets strategist at BlueBay Asset Management, also predicts a 100 basis point cut. Erdogan won’t need a justification for this, Ash said, citing future elections as the reason behind the move. 

Analysts at investment bank MUFG, meanwhile, predict a hold at the current rate of 13%. 

Economists predict continued high inflation and a further fall in the lira, which has already fallen 27% against the dollar year-to-date, and 53% in the last year. 

Erdogan, meanwhile, remains optimistic, predicting that inflation will fall by year-end. “Inflation is not an insurmountable economic threat. I am an economist,” the president said during an interview on Tuesday. Erdogan is not an economist by training. 

Regarding the effect of Erdogan’s decisions on the Turkish stock market, Ash said, “The risk of these unorthodox monetary policies is that it creates resource misallocation, bubbles, which eventually burst, causing big risks to macro financial stability.” 

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Inspectors OK 1st Ukraine grain ship but no sign yet of more

ISTANBUL (AP) — The first grain ship to leave Ukraine and cross the Black Sea under a wartime deal passed inspection Wednesday in Istanbul and headed on to Lebanon. Ukraine said 17 other vessels were “loaded and waiting permission to leave,” but there was no word yet on when they could depart.

A joint civilian inspection team spent three hours checking the cargo and crew of the Sierra Leone-flagged ship Razoni, which left Odesa on Monday carrying Ukrainian corn, a U.N. statement said.

The Joint Coordination Center team included officials from Ukraine, Russia, Turkey and the United Nations, who signed deals last month to create safe Black Sea shipping corridors to export Ukraine’s desperately needed agricultural products as Russia’s war upon its neighbor grinds on.

Ukraine is a major global grain supplier but the war had blocked most exports, so the July 22 deal aimed to ease food security around the globe. World food prices have been soaring in a crisis blamed on the war, supply chain problems and COVID-19.

Although U.S. Secretary of State Antony Blinken called Razoni’s journey a “significant step,” no other ships have left from Ukraine in the past 48 hours and no explanations have been given for that delay.

A U.N. statement said inspectors “gained valuable information” from the Razoni’s crew about its voyage through the Black Sea maritime humanitarian corridor and the coordination center was “fine-tuning procedures.”

The Turkish Ministry of National Defense tweeted a picture of an inspector reaching into the Razoni’s hold and touching some of its 26,527 tons of corn for chicken feed. The Razoni’s horn rang out as the inspectors left the ship, and then it headed off to Lebanon.

The checks seek to ensure that outbound cargo ships carry only grain, fertilizer or food and not any other commodities, and that inbound ships are not carrying weapons.

An estimated 20 million tons of grain — most of it said to be destined for livestock — has been stuck in Ukraine since the start of the 6-month-old war. Ukraine’s top diplomat said Wednesday that more ships are ready to carry much-needed grain and food out of the country’s Black Sea ports.

“Further ships are already ready for departure. They will depart from the ports that are part of the grain initiative in accordance with the agreed schedule, and we hope that everything will work out and the Russian Federation will not take any steps that would destroy these agreements,” Foreign Minister Dmytro Kuleba said at a joint press conference in Kyiv with his Estonian counterpart.

Kuleba said the U.N.-backed deal “is beneficial to Ukrainian farmers, it is beneficial to the Ukrainian economy, and it is beneficial to the world.”

″ It is now Ukraine that is, literally, saving the world from further growth in food prices and from hunger in individual countries,” he said.

Still, a Black Sea voyage entails significant risks because of the war. Two civilian ships hit explosive devices there last week near the Danube River’s Bystre estuary, according to Bridget Diakun, a data reporter at Lloyd’s List, a global shipping publication.

Analysts say authorities’ first priority is bringing out vessels that have been stuck for months at the three Ukrainian ports covered by the deal. Sixteen ships loaded with grain have been stuck at the ports of Odesa and Chernomorsk since Russia’s invasion, according to Lloyd’s List.

Even slower than that is the effort to bring ships into Ukraine’s ports to extract the millions of tons of grain in storage.

Insurance brokers are being “cautious, slow, so far,” said David Osler, insurance editor at Lloyd’s List. “At this stage, everyone’s hesitant.”

Grain stockpiles are expected to keep growing. Despite the war, Ukrainian Prime Minister Denys Shmyhal estimated his country would harvest up to 67 million tons of grain this year, up from 60 million tons last year.

A senior official from a leading Ukrainian farm association reckoned Ukraine would have about 50 million tons of grain for export this year.

Before the war, Ukraine exported around 5-6 million tons of grain per month, according to Denys Marchuk, the deputy head of the All-Ukrainian Agrarian Council. He said Ukrainian authorities are hoping to include more Black Sea ports in the export deal.

In other news Wednesday:

__ Russian forces kept up their bombardment of the southern Ukrainian port city of Mykolaiv. Regional governor Vitaliy Kim said the shelling damaged a pier, an industrial enterprise, residential buildings, a garage cooperative, a supermarket and a pharmacy. The mayor of Mykolaiv, Oleksandr Sienkevych, told The Associated Press that 131 civilians have died so far in the city from Russian shelling and 590 others have been seriously injured.

__ The Ukrainian military said Ukrainian forces pushed back over a dozen Russian assaults in the key eastern province of Donetsk and claimed that none of the Russian attempts to advance over the previous 24 hours were successful. Still, Russian shelling killed at least four civilians in Donetsk province, Ukraine’s presidential office said. President Volodymyr Zelenskyy has ordered all those in the embattled province to evacuate as soon as possible.

__ The U.N. chief says he’s appointing a fact-finding mission in response to requests from Russia and Ukraine to investigate an explosion at a POW prison in a separatist region of eastern Ukraine that reportedly killed 53 Ukrainian prisoners of war and wounded another 75. U.N. Secretary-General Antonio Guterres told reporters that he doesn’t have authority to conduct criminal investigations but does have authority to conduct fact-finding missions. Both sides said the assault last Friday was premeditated with the aim of covering up atrocities.

__ Moscow has drastically cut how much gas it sends to Europe, igniting fears that it could stop sending the much-needed fuel. All across Europe, nations are rushing to cut energy use this summer so they can fill up gas storage tanks for the cold winter ahead.

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Robert Badendieck and Mehmet Guzel in Istanbul, Aya Batrawy in Dubai, Joanna Kozlowska in London and Edith Lederer in New York contributed to this report.

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Follow AP’s coverage of the Russia-Ukraine war at https://apnews.com/hub/russia-ukraine

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