Turkey boosts FTSE

In mid-morning trading the FTSE 100 is up 50 points, as the Turkish lira has stabilised.

Equity markets have welcomed Turkey's move to jack-up interest rates to prevent the lira from going into freefall. Financial markets like decisive action, and the bold decision by the country's central bank to prop up the currency was felt around the rest of Europe. 

British banks are on the rise for a second day in a row, as the fear of a currency war has dwindled. Restructuring continues at many financial institutions which tells us that we are not out of the woods yet.

Royal Dutch Shell is a touch higher after announcing the sale of a stake in Brazilian project Qatar Petroleum International. The oil giant's share price hasn’t recovered since its shock profit-warning nearly two weeks ago, and today’s disposal strikes me as a cash-grabbing exercise. 

Sainsbury's has slipped into the red after the supermarket revealed Justin King’s reign will come to an end in July. 

In the US we are expecting the Dow Jones to open 40 points higher at 15,980 ahead of the Federal Reserve meeting tonight, where a $10 billion taper is on the cards. 

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