Turkey's lira tumbled to a record low of 42 per dollar before recouping most of the day's losses on Wednesday, while bonds and stocks also slid after authorities detained President Tayyip Erdogan's main political rival.

Turkish assets fell sharply Wednesday, after police detained Istanbul mayor Ekrem Imamoglu, a rival of President Recep Tayyip Erdogan. The lira weakened more than 3% against the dollar. It was on p

The Turkish lira weakened sharply to a record low against the U.S. dollar and the Istanbul stock market dived after the main opposition challenger to President Recep Tayyip Erdogan was arrested. Investors sold Turkish assets as fears grew that Erdogan’s increasingly authoritarian stance and detention of his biggest rival will destabilize the North Atlantic Treaty Organization member.