Around The World in 100 Words - August 2018; Week 32
This week’s ATW is all about background noise. I don’t mean of the kind like surf crashing into the beach at high tide or the ceaseless roar of the engines on a transatlantic flight, I mean the kind of headline news that seems important at the time but quickly fades into the background.
Today’s article from the Globe & Mail is all about the Turkish Lira -yes, you heard that correctly, and how Turkey’s currency crisis is the result of meddling by it’s President Erdogan. It goes on to describe the contagion that is spreading among emerging markets and concerns over European banks exposure to Turkey. https://www.theglobeandmail.com/investing/markets/inside-the-market/market-news/article-at-the-open-world-stocks-hit-one-month-low-as-turkish-rout-spreads/
Sounds pretty bad right? Well it’s not. Turkey’s economy is relatively small and it’s stock market non-existent. So this story has a short shelf life, but makes for riveting reading in the short term (riveting for financial junkies like me anyway). Bottom line is that this story will be soon forgotten and new headlines predicting doom and gloom will take its place. Background noise, nothing more.
Hope your summer is going well and enjoy the rest of it with your families!