Turkish lira skids past 5 to dollar on USA sanctions move

US Pastor Andrew Brunson is seen inside a car escorted by Turkish plain-clothes police officers as he arrives at his house

US Pastor Andrew Brunson is seen inside a car escorted by Turkish plain-clothes police officers as he arrives at his house

Two Turkish employees of U.S. consulates in Turkey are also now in jail on terrorism charges, and another is under house arrest, while several Americans have been caught up in the crackdown that followed a failed 2016 coup.

Erdogan on Friday said in his Ankara speech that Turkey expected joint efforts regarding Manbij "to continue without being affected by other issues", in a possible indirect reference to the dispute with Washington.

US Secretary of State Mike Pompeo and Turkish Foreign Minister Mevlut Cavusoglu met on the sidelines of a regional security forum in Singapore on Friday, their first meeting since the crisis began.

The official went on to say he and Pompeo also discussed steps to strengthen ties between the two countries despite the new sanctions from the U.S. "These are innocent people", he said.

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On Friday, the two leaders agreed to work together to resolve tensions between the two countries.

Turkey has vowed to retaliate after the United States imposed sanctions on two senior ministers in President Erdogan's cabinet in an escalating row over the detention of a preacher.

The FETO and its US-based leader Fetullah Gulen orchestrated the defeated coup of 2016, which left at least 250 people dead and almost 2,600 wounded.

Brunson was in a Turkish prison for 21 months until he was transferred to house arrest last week. He is facing a 35-year sentence if convicted of the charges of "committing crimes on behalf of terror groups without being a member" and espionage.

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"I hope they'll see this for what it is, a demonstration that we're very serious", he said of the sanctions.

The lira hit a record low of 5.0934 to the dollar, recovering to trade at 5.0605 by 1434 GMT.

"We've seen no evidence that Pastor Brunson has done anything wrong and we believe he is a victim of unfair and unjust detention by the government of Turkey", White House Press Secretary Sarah Huckabee Sanders emphasized to reporters Wednesday.

The FETO and its USA -based leader Fetullah Gulen orchestrated the defeated coup attempt of July 15, 2016, which left 251 people martyred and almost 2,200 injured. Gulen denies the allegations. The attorney general heads the Justice Department in the United States. He was also charged with supporting outlawed PKK Kurdish militants. On Tuesday, a court rejected his appeal to be released altogether during his trial.

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President Donald Trump and Vice President Mike Pence, who shares Brunson's evangelical Christian faith, have made his release a priority.

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