Turkish Lira Plummets After Erdogan's Rival Detained

Turkey's lira plummeted to an all-time low of 42 to the dollar, falling nearly 12.7% amid a broader market selloff following the detention of Istanbul mayor Ekrem Imamoglu, President Erdogan's main political rival. Imamoglu faces charges including corruption and aiding a terrorist group, which the opposition has condemned as a politically motivated attack. This development triggered significant declines in Turkish stocks and bonds, with the BIST 100 index experiencing a temporary trading halt after dropping over 6%. Market analysts noted that the event has broken a period of investor complacency, leading to a sharp revaluation of Turkey's political risk. Concerns are growing about the potential impact on foreign investment and the overall stability of Turkey's economy. The situation reflects a continuing crackdown on opposition figures, raising alarms about the future of democracy in Turkey.