Turkish lira on track for third straight gain against dollar

New York : Turkish lira rose for a third straight session against the US dollar on Thursday, suggesting further stabilization in the currency just days after it tumbled to a record low.

One dollar bought 5.8342 lira, compared with 5.9868 late Wednesday in New York, a move of roughly 2.5 per cent, according to a report from Dow Jones Newswires supplied to Efe news.

Thus far this week, the lira was up 9.9 per cent against the buck, supported by reports on Wednesday that Qatar would invest $15 billion in Turkey.

The sum is a small fraction of what Turkey would need to shore up its faltering economy or pay its dollar debts. But the promise of investment was trumpeted by the Turkish news media as a victory for President Recep Tayyip Erdogan on the same day of Turkey rejecting a second legal appeal to release American pastor Andrew Brunson.

Turkey also sharply raised tariffs on American goods, as it pushed back against pressure from the US.

Despite the recent gains, the lira remains lower by about 16 per cent over the month of August, the Dow Jones report added. The recent losses came amid concerns about the country's leadership, along with its high current account deficit, foreign currency-denominated debt and high inflation.