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Euro zone banks hammered for Turkish exposure


FRANKFURT (Reuters) - Investors dumped euro zone bank shares on Friday on concerns about their exposure to Turkey, as the lira fell to yet another record low with a defiant government showing few signs it is ready to take decisive steps to stabilise the currency.

A widening rift with the United States, its main NATO ally, and President Tayyip Erdogan's grip on monetary policy under a new powerful executive presidency have helped to drive the lira down by more than 40 percent this year, a particular vulnerability for Turkish banks as over a third of their lending is in foreign currencies.

   

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