Turkish lira slips after sources say U.S. to impose sanctions

FILE PHOTO: Turkish lira banknotes are seen in this illustration taken January 6, 2020. REUTERS/Dado Ruvic/Illustration/

ISTANBUL (Reuters) - The Turkish lira weakened on Friday after sources said the United States was poised to impose sanctions on Turkey over its acquisition of Russian S-400 air defence systems, a move set to worsen ties between the two NATO allies.

Separately, European Union leaders agreed on Thursday to prepare limited sanctions on Turkish individuals over an energy exploration dispute with Greece and Cyprus, postponing any harsher steps until March.