economy

Turkish healthcare unions plan strikes amid lira turmoil

Two Turkish unions representing more than 250,000 workers said they would hold limited strikes this week to protest against legislation covering healthcare salaries and pensions. Turkey is facing mounting economic uncertainty triggered by a historic sell-off in the lira currency. The Health and Social Work Labourers' Union (SES), which has nearly 20,000 members, said on Sunday it would "pause work" on Monday to protest at long hours, low pay, thin staffing and exhausting work conditions throughout the COVID-19 pandemic. A Health Ministry representative was not immediately available to comment....

Iran currency falls as nuclear talks seem to hit roadblock

The Iranian rial currency dipped on Saturday but remained above historic lows after news that talks with world powers to revive the 2015 Iran nuclear accord may have run into difficulties. Indirect US-Iranian talks on saving the 2015 Iran nuclear deal broke off on Friday until next week, with European officials voicing dismay at sweeping demands by Iran's new, hardline government. Washington said Tehran "does not seem to be serious". In Iran, the US dollar was selling for as much as 302,200 rials on the unofficial market on Saturday, up from 294,000 on Friday, according to the foreign exchange...

Erdogan says he hopes volatile Turkish lira will steady soon

Turkish President Tayyip Erdogan said on Saturday he hoped that volatile foreign-exchange and inflation rates would stabilise shortly and he again promised low interest rates, after a historic plunge in the lira currency to record lows. The lira shed some 30 percent over the last month in a selloff driven by aggressive interest rate cuts that Erdogan sought, but that economists and opposition politicians say are reckless in part due to soaring inflation. "God willing we will stabilise all fluctuations in prices and forex rates in not such a long time," Erdogan told an audience in the eastern c...

US hiring disappoints in November, complicating Biden's plans

Washington (AFP) - The United States added just 210,000 jobs last month, the government reported Friday, less than half the increase analysts were expecting in the latest headwind for President Joe Biden. The White House has been banking on a solid economic recovery to bolster support for Biden and his massive Build Back Better spending bill that is inching its way through Congress. But the new data presented a complicated picture of the labor market as American businesses try recover from the Covid-19 pandemic but struggle to find workers. The administration got good news in the big drop in t...

Turkey's annual inflation rate surges to 21.31% in November

Turkey's annual inflation rate jumped over 20 percent in November, official data showed on Friday, after a currency crisis last month when the Turkish lira hit record lows against the dollar. Consumer prices climbed to 21.31 percent from the same period in November last year, up from 19.89 percent in October, according to the Turkish statistics office. This is the highest figure in three years. Persistent inflation has decimated purchasing power. Turkey's official inflation target is five percent. Ratings agency Fitch on Thursday revised its outlook on Turkey's sovereign credit rating to negat...

Turkish lira steadies after record low as Erdogan doubles down

The Turkish lira held steady on Wednesday after tumbling to a new record low of 14 to the dollar overnight as President Tayyip Erdogan doubled down on his pre-election strategy of sharp rate cuts despite soaring inflation and widespread criticism. The lira stood at 13.40 against the U.S. currency at 0731 GMT, flat compared with the close on Tuesday when it slumped 8.6%. The greenback also benefited from hawkish U.S. Federal Reserve comments. The currency has lost as much as 47% of its value this year, down some 30% in November alone, rapidly eroding Turks' earnings and savings, upending househ...

Fed chair admits US inflation could prove 'persistent'

Washington (AFP) - The wave of price increases that has complicated the US pandemic recovery could last longer than anticipated, Federal Reserve Chair Jerome Powell acknowledged Tuesday, opening the door to raising interest rates sooner. It was a distinct shift by the central bank chief who for months tried to assuage fears by saying the inflation spike would be "transitory," and pledged to be patient before raising interest rates. The uptick in inflation has put pressure on Powell and become a political liability for President Joe Biden, who is pushing a divided Congress to pass a massive bil...

Global markets down, oil slumps on Omicron vaccine warning

World stocks and oil prices slid Tuesday after Moderna warned current vaccines might be less effective at fending off the Omicron variant, and eurozone inflation spiked to a record high. Frankfurt, London and Paris followed Asia in closing sharply lower, with sentiment dogged by fears of fresh economic fallout from the long-running Covid crisis. Oil slumped back in New York with WTI down 5.1 percent a barrel at $66.38 -- a three-month low -- while Brent crude was off 3.80 percent at $70.65. The tumble followed the Moderna remarks, which have reignited fears over how the Omicron variant spread ...

Inflation hits US consumer confidence in November

Washington (AFP) - Price increases and rising Covid-19 infections made US consumers feel slightly less confident in November, an industry survey released Tuesday said. The Conference Board reported its consumer confidence index dropped about two points to 109.5 this month, worse than analysts had forecast as the world's largest economy grapples with record inflation and still-high Covid-19 infection rates. But the research group's Senior Director of Economic Indicators Lynn Franco said the decline doesn't necessarily bode ill for the economy's recovery into next year, nor for the holiday shopp...

Fed's Powell warns Omicron poses risks to US economy

Washington (AFP) - The Omicron variant of Covid-19 could slow the recovery of the US economy and labor market and also heighten uncertainty regarding inflation, Federal Reserve Chair Jerome Powell said in testimony released Monday. Powell has consistently said the recent spike in inflation would be transitory, but acknowledged that the factors pushing US prices higher will "linger well into next year." The comments to be delivered to the Senate Banking Committee on Tuesday indicate the central bank chief is growing more concerned about this year's price increases, which has put pressure on the...