ISTANBUL (Reuters) – Seven weeks since starting its offensive against inflows of hot money, Turkey’s central bank looks to be winning the battle.

Interest rate cuts have sent foreign buyers into retreat, weakening the lira by some 6 percent since the bank launched its bold new policies. Finance Minister Mehmet Simsek stated calmly this week that $8 billion (5.0 billion pounds) worth of short-term money has left.

ISTANBUL (Reuters) – The fate of a giant peace monument symbolising reconciliation between Turks and Armenians has caused a row in Turkey after Prime Minister Tayyip Erdogan branded it “monstrous” and called for its demolition.

The unfinished monument by a renowned Turkish artist consists of two concrete figures more than 30 metres high who face each other on an hill in the northeastern city of Kars.

ISTANBUL (Reuters) – Ratings agency Fitch lifted its outlook on Turkey’s rating to “positive” from “stable” on Wednesday, citing the country’s economic recovery and improving public finances.

Fitch rates Turkey one notch below investment grade and the revision signals strong growth and ambitious plans to cut the budget deficit and debt could finally put Ankara within sight of an investment grade rating, seen by markets as long overdue.

By Alexandra Hudson

ISTANBUL (Reuters Life!) – Along Istanbul’s busy Eminonu waterfront women swathed in dark coats and scarves knotted once under the chin jostle past others clad in vivid colors and head coverings carefully sculpted around the face.

Two decades ago such a polished, pious look scarcely existed in Turkey. But today it has the highest profile exponents in First Lady Hayrunnisa Gul and Prime Minister Tayyip Erdogan’s wife Emine, and the brands behind it plan ambitious expansion.

BURSA, Turkey (Reuters) – Manchester United underlined the gulf in class between the Champions League heavyweights and debutants after a 3-0 romp took them to the brink of the last 16 on Tuesday.

The English side, without injured striker Wayne Rooney, had far too much firepower for the Turkish champions who were well beaten after second-half goals from Darren Fletcher, French forward Gabriel Obertan, his first for United, and Bebe.

BURSA, Turkey, Nov 2 (Reuters) – Manchester United
underlined the gulf in class between the Champions League
heavyweights and debutants after a 3-0 romp took them to the
brink of the last 16 on Tuesday.

The English side, without injured striker Wayne Rooney, had
far too much firepower for the Turkish champions who were well
beaten after second-half goals from Darren Fletcher, French
forward Gabriel Obertan, his first for United, and Bebe.

BURSA, Turkey (Reuters) – Manchester United moved to the brink of qualifying for the last 16 of the Champions League after second-half goals from Darren Fletcher, Gabriel Obertan and Bebe sealed a 3-0 romp over Bursaspor on Tuesday.

Fletcher drove a pass from Michael Carrick low past the keeper to give United the lead in the 48th minute.

BURSA, Turkey, Nov 2 (Reuters) – Manchester United moved to
the brink of qualifying for the last 16 of the Champions League
after second-half goals from Darren Fletcher, Gabriel Obertan
and Bebe sealed a 3-0 romp over Bursaspor on Tuesday.

Fletcher drove a pass from Michael Carrick low past the
keeper to give United the lead in the 48th minute.

ISTANBUL (Reuters) – Turkey’s staunchly secularist military shunned the President’s Republic Day reception on Friday night, attended for the first time by his headscarf-wearing wife, in a snub to the country’s pious rulers.

In the past President Abdullah Gul had given two separate parties, pandering to secularist sensitivities by conducting the higher-profile evening affair without his spouse, but this year he held just one event, which she co-hosted.

LONDON/ISTANBUL (Reuters) – Turkey’s lira currency will depreciate over the next year at a far slower rate than expected six months ago, according to a Reuters poll of analysts who saw a slowing but robust economic recovery.

Surging capital flows pushed the lira to a two-year high against the dollar last week, as high-yielding emerging markets benefited from expectations the United States will soon resume pumping cash into markets by purchasing Treasury debt.