Trump calls Turkey a ‘problem,’ says detained United States pastor isn’t a spy

US dollar banknotes are seen in this

US dollar banknotes are seen in this

Trump on Thursday tweeted: "Turkey has taken advantage of the United States for many years".

Turkey's finance chief tried to reassure thousands of worldwide investors on a conference call on Thursday, in which he pledged to fix the economic troubles.

In a statement, the ministry also said it would provide flexibility on maturities and pricing to endure cash flow for companies, while taking additional measures to avoid obstacles against borrowing for companies.

Earlier on Thursday, Treasury Secretary Steve Mnuchin hinted at more sanctions over Brunson, saying, "We have more that we are planning to do if they don't release him quickly".

Turkey retaliated with some $533 million of tariffs on some U.S. imports - including cars, tobacco and alcoholic drinks - and said it would boycott USA electronic goods.

The lira has clawed back some ground over the last two days - after losing nearly a quarter of its value on Friday and Monday - but economists are warning that Turkey must urgently address its economic imbalances to avoid more trouble.

Turkey has been hit by a currency crisis fuelled by a heated row with the United States.

The Canadian dollar CAD= strengthened against its USA counterpart after data showing a surge in domestic inflation triggered increased bets on another Bank of Canada interest rate hike as soon as September.

The Izmir Third High Criminal Court ruled against a new plea by Brunson's lawyer Ismail Cem Halavurt, who initiated the process after the Second High Criminal Court rejected an appeal for Brunson's release from house arrest and for his travel ban to be lifted on Wednesday.

Turkey's lira fell again after trade minister Ruhsar Pekcan said her government would respond to any new trade duties, which Donald Trump threatened in an overnight tweet.

Companies that for years have borrowed overseas at low interest rates have seen their cost of servicing foreign debt rise by a quarter in lira terms in two months.

Those sanctions caused great turmoil in financial markets, and contributed to the huge slump seen by the Turkish lira in the last two weeks. When asked about the investment by reporters, Lu Yi said that China has always attached importance to the economic, trade and financial ties it has with Turkey. Hopes that China and the United States could ease trade tensions helped Chinese stocks pare losses.

Turkish markets will be closed from midday on Monday for the rest of the week for the Muslim Eid al-Adha festival.

Turkey has the highest foreign exchange-denominated debt among emerging markets, Societe Generale said in its note on Friday, estimating its short-term external debt at $180 billion and total external debt at $460 billion.

The crisis is also threatening efforts by Turkish banks to refinancing syndicated loans.

The president has remained defiant, calling on Turks to sell their gold and dollars for lira, describing the crisis as an "economic war".

A general view of Istanbul, Thursday, Aug. 16, 2018.

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