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Turkish coup bid crumbles as crowds answer call to streets, Erdogan returns

Legacy Phuket Gazette

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Turkish coup bid crumbles as crowds answer call to streets, Erdogan returns | The Thaiger

PHUKET MEDIA WATCH

– World news selected by Gazette editors for Phuket’s international community

Turkish coup bid crumbles as crowds answer call to streets, Erdogan returns
Phuket Gazette / Reuters


ISTANBUL/ANKARA: An attempted Turkish military coup appeared to crumble in the early hours of this morning after crowds answered President Tayyip Erdogan’s call to take to the streets to support him.

Erdogan, who had been holidaying on the coast when the coup was launched, flew into Istanbul before dawn on Saturday and was shown on TV appearing among a crowd of supporters outside the airport, which the coup plotters had failed to secure.

The uprising was an “act of treason”, and those responsible would pay a heavy price, he later told reporters at a hastily arranged news conference. Arrests of officers were under way, and it would go higher up the ranks, culminating in the cleansing of the military.

Gunfire and explosions had rocked both the main city Istanbul and capital Ankara in a chaotic night after soldiers took up positions in both cities and ordered state television to read out a statement declaring they had taken power.

But by early this morning, Reuters journalists saw around 30 pro-coup soldiers surrender their weapons after being surrounded by armed police in Istanbul’s central Taksim square.

They were taken away in police vans as a fighter jet repeatedly screamed overhead at low altitude, causing a boom that shook surrounding buildings and shattered windows.

A successful overthrow of Erdogan, who has ruled Turkey since 2003, would have marked one of the biggest shifts in the Middle East in years, transforming one of the most important U.S. allies while war rages on its border. A failed coup attempt could still destabilize a pivotal country.

Before returning to Istanbul, Erdogan appeared in a video call to the studio of the Turkish sister channel of CNN, where an announcer held up a mobile phone to the camera to show him. He called on Turks to take to the streets to defend his government and said the coup plotters would pay a heavy price.

By the early hours of Saturday morning, lawmakers were still hiding in shelters inside the parliament building in Ankara, which had been fired on by tanks. Smoke rose up from nearby, Reuters witnesses said. An opposition MP told Reuters parliament was hit three times and that people had been wounded.

A Turkish military commander said fighter jets had shot down a helicopter used by the coup plotters over Ankara. State-run Anadolu news agency said 17 police were killed at special forces headquarters there.

As the night wore on, momentum turned against the coup plotters. Crowds defied orders to stay indoors, gathering at major squares in Istanbul and Ankara, waving flags and chanting.

“We have a prime minister, we have a chief of command, we’re not going to leave this country to degenerates,” shouted one man, as groups of government supporters climbed onto a tank near Istanbul’s Ataturk airport.

Erdogan and other officials blamed loyalists of a U.S.-based cleric for the coup attempt; his movement denied any part in it.

U.S. SUPPORT

The United States declared its firm backing for Erdogan’s government. Secretary of State John Kerry said he phoned the Turkish foreign minister and emphasized “absolute support for Turkey’s democratically elected, civilian government and democratic institutions”.

The coup began with warplanes and helicopters roaring over Ankara and troops moving in to seal off the bridges over the Bosphorus that link Europe and Asia in Istanbul.

Reuters reporters saw a helicopter open fire in Ankara. Anadolu said military helicopters had fired on the headquarters of the intelligence agency.

In the first hours of the coup attempt, airports were shut and access to internet social media sites was cut off.

Soldiers took control of TRT state television, which announced a countrywide curfew and martial law. An announcer read a statement on the orders of the military that accused the government of eroding the democratic and secular rule of law. The country would be run by a “peace council” that would ensure the safety of the population, the statement said.

Shortly afterwards, TRT went off the air. It resumed broadcasting in the early hours of Saturday.

Anadolu said the chief of Turkey’s military staff was among people taken “hostage” in the capital Ankara, but Prime Minister Binali Yildirim later said he was back in control.

“NOT A TINPOT COUP”

Early in the evening the coup appeared strong. A senior EU source monitoring the situation said: “It looks like a relatively well orchestrated coup by a significant body of the military, not just a few colonels. They’ve got control of the airports and are expecting control over the TV station imminently. They control several strategic points in Istanbul.

“Given the scale of the operation, it is difficult to imagine they will stop short of prevailing.”

One European diplomat was dining with the Turkish ambassador to a European capital when guests were interrupted by the pinging of urgent news on their mobile phones.

“This is clearly not some tinpot little coup. The Turkish ambassador was clearly shocked and is taking it very seriously,” the diplomat told Reuters as the dinner party broke up. “However it looks in the morning, this will have massive implications for Turkey. This has not come out of nowhere.”

Turkey, a NATO member with the second biggest military in the Western alliance, is one of the most important allies of the United States in the fight against Islamic State, which seized swathes of neighboring Iraq and Syria.

The Pentagon said there was no impact on operations against Islamic State from the U.S. air base at Incirlik in Turkey.

Turkey is also one of the main backers of opponents of Syrian President Bashar al-Assad in that country’s civil war, host to 2.7 million Syrian refugees and launchpad last year for the biggest influx of migrants to Europe since World War Two.

Celebratory gunfire erupted in Syria’s capital Damascus after the army claimed to have toppled Erdogan. People took the streets to celebrate there and in other government-held cities.

Turkey has been at war with Kurdish separatists, and has suffered numerous bombing and shooting attacks this year, including an attack two weeks ago by Islamists at Istanbul’s main airport that killed more than 40 people.

Turkish officials blamed the attempted coup on followers of Fethullah Gulen, an influential cleric in self-imposed exile in the United States who once supported Erdogan but became a nemesis. The pro-Gulen Alliance for Shared Values said it condemned any military intervention in domestic politics.

After serving as prime minister from 2003, Erdogan was elected president in 2014 with plans to alter the constitution to give the previously ceremonial presidency far greater executive powers.

Turkey has enjoyed an economic boom during his time in office and has dramatically expanded its influence across the region. But opponents say his rule has become increasingly authoritarian.

His AK Party, with roots in Islamism, has long had a strained relationship with the military and nationalists in a state that was founded on secularist principles after World War One. The military has a history of mounting coups to defend secularism, but has not seized power directly since 1980.

Prime Minister Yildirim said a group within Turkey’s military had attempted to overthrow the government and security forces have been called in to “do what is necessary”.

“Some people illegally undertook an illegal action outside of the chain of command,” Yildirim said in comments broadcast by private channel NTV.

“The government elected by the people remains in charge. This government will only go when the people say so.”

— Phuket Gazette Editors

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Economy

Local investor sentiment dampened by Brexit woes and slump in Chinese economy

The Thaiger

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Local investor sentiment dampened by Brexit woes and slump in Chinese economy | The Thaiger

The British pound fell today as investors fret over PM Boris Johnson’s chances of pushing his Brexit deal through the British parliament, while Asian markets were mostly down after data showed China’s economy expanded at its slowest pace in nearly three decades.

The pound rallied almost to US$1.30 yesterday following news that negotiators had hammered out an agreement that would avoid Britain leaving the EU without a divorce deal – a move many warn would be economically catastrophic. But the brief celebrations were soon tempered by the realisation that the British PM faces an uphill task in getting the deal past lawmakers, with opposition MPs and even some in his own Conservative party saying they won’t pass it.

Most importantly, Northern Ireland’s Democratic Unionist Party (DUP), which props up Johnson’s government, said it was “unable to support these proposals”.

Forex traders sold sterling, pushing it back down below $1.29, and it extended losses in Asia. Focus is now on a crucial vote in London on the deal scheduled for tomorrow (Saturday).

“Much will depend on the PM’s ability to get some if not all DUP and (Scottish National Party) MPs onside, in addition to also getting the backing from the 21 ex-Conservative MPs he expelled from the party last month,” said National Australia Bank’s Rodrigo Catril.

“Rejection of the deal might well see more political brinkmanship around a ‘no-deal’ Brexit, but the most likely scenario would be yet another extension of the 31 October Brexit date.”

Jeffrey Halley, senior market analyst at OANDA, said whichever way the vote goes, “traders should prepare themselves for some severe volatility on Monday morning, with multiple big-figure moves a strong possibility”.

China growth slows again

Asian equity markets, meanwhile, were mostly lower after China said its economy expanded 6% in the third quarter, the slowest pace in 27 years, as leaders struggle to address weak domestic demand and the long-running US trade war.

The reading was a drop from the previous three months but in line with an AFP forecast and the government’s 6-6.5% target for the year.

While the National Bureau of Statistics said the economy “maintained overall stability”, it added that it “is under mounting downward pressure” from weakness at home and abroad.

Shanghai ended down 1.3% with Stephen Innes at AxiTrader saying traders were concerned the figures were not weak enough to prompt the Chinese central bank to embark on a big stimulus drive.

“With the People’s Bank of China, who arguably have plenty of policy ammunition to right the ship, probably unwilling to turn on the monetary taps, investors are taking risk off the table,” he said in a note.

Hong Kong was off 0.5% amid concern over the possibility of more violent protests over the weekend, while Sydney closed down 0.5 percent and Singapore eased 0.4%.

Seoul shed 0.8% and Wellington lost 0.7%, with Taipei and Manila also lower. But Tokyo closed 0.2 higher at a 10-month high, while Mumbai and Jakarta also edged up.

Hopes for the China-US trade talks were given a lift after Beijing’s commerce ministry said negotiators have “accelerated efforts” to hammer out details of last Friday’s mini-deal and were holding talks on moving on to the next phase of a wider agreement.

Donald Trump said Wednesday he hopes to sign the deal with President Xi Jinping at the APEC summit in Chile next month.

And the Turkish lira jumped more than 1% after Ankara said it would pause military operations in northern Syria for five days and US Vice President Mike Pence said Washington would not impose any fresh sanctions.

Key markets today…

Pound/dollar: DOWN at $1.2857 from $1.2891 at 2050 GMT

Euro/pound: UP at 86.48 pence from 86.31 pence

Euro/dollar: UP at $1.1122 from $1.1127

Dollar/yen: UP at 108.63 yen from 108.62 yen

London – FTSE 100: DOWN 0.4% at 7,152.55

Tokyo – Nikkei 225: UP 0.2% at 22,492.68 (close)

Hong Kong – Hang Seng: DOWN 0.5% at 26,719.58 (close)

Shanghai – Composite: DOWN 1.3% at 2,938.14 (close)

West Texas Intermediate: UP four cents at $53.97 per barrel

Brent North Sea crude: DOWN 22 cents at $59.69 per barrel

New York – Dow: UP 0.1% at 27,025.88 (close)

SOURCE: Agence France-Presse

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Philippines

Powerful 6.4 earthquake kills five in the Philippines

May Taylor

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Powerful 6.4 earthquake kills five in the Philippines | The Thaiger

PHOTO: AFP

A strong 6.4 magnitude earthquake has struck the southern Philippines, killing five, including one child, destroying property and disrupting power supply. The death toll is expected to rise.

The powerful quake was felt across the Mindanao region, even causing a 3-storey shopping mall to burst into flames. Residents were evacuated and a child was killed when a house collapsed in the town of Datu Paglas.

AFP reports that the quake was 14 kilometres deep and followed by two aftershocks. The Philippines is part of the “Ring of Fire”, a zone of constant seismic activity that stretches from Japan through Southeast Asia and across the Pacific.

Several injuries have been reported as a result of falling debris. The shopping mall that caught fire was evacuated when the quake struck, but it’s not yet known if there were still people inside as the fire took hold.

The mall was still on fire three hours later as nearly 100 firemen battled to put it out.

Residents on the coast in Davao fled to higher ground fearing a tsunami, even though a government seismologist reassured people there was no tsunami risk as the quake had occurred inland.

It’s understood that prisoners in the municipal jail in the town of Bansalan were also let out, but placed in handcuffs and held outside for the duration of the evacuation.

SOURCE: AFP

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World

Key ally rejects PM Johnson’s Brexit plan – Sterling sags

The Thaiger

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Key ally rejects PM Johnson’s Brexit plan – Sterling sags | The Thaiger

The British Pound tumbled again today after UK PM Boris Johnson’s key ally in parliament said it “could not support” his plans for a Brexit deal, throwing a spanner in the works – just as Britain and the EU were closing in on an agreement.

The comment caused an immediate reaction from this morning’s Asia Pacific markets.

After years of wrangling, the two sides said they were edging towards the basis for a treaty allowing Britain to avoid an economically catastrophic “no-deal” exit from the European Union.

With both teams working through the night, EU negotiator Michel Barnier said there had been “good progress, and work is ongoing”, while France’s deputy foreign minister said Thursday a deal was “within reach but is not guaranteed”.

There had been optimism that a deal was in the offing, just two weeks before Britain is due to leave the bloc, as they worked towards a solution on the vexed question of British-ruled Northern Ireland.

But Northern Ireland’s Democratic Unionist Party (DUP) dropped a bombshell hours before the start of a crunch EU summit Thursday, saying it cannot support the plan.

“As things stand, we could not support what is being suggested on customs and consent issues, and there is a lack of clarity” on Value Added Tax, the DUP, which props up Johnson’s government, said in a statement on Twitter.

“We will continue to work with the Government to try and get a sensible deal that works for Northern Ireland and protects the economic and constitutional integrity of the United Kingdom.”

DUP leader Arlene Foster had met Johnson several times this week to discuss the progress of talks and had described as “nonsense” previous reports that she was ready to give way.

The pound, which earlier in the day was hovering at five-month highs around $1.2877 sank to $1.2750 before edging back slightly, while it also lost ground to the euro.

The DUP are against any deal that would tie Northern Ireland to EU rules but cut the rest of the United Kingdom loose.

Markets react

In early trade, London’s FTSE added 0.1%, Paris was flat and Frankfurt eased 0.2%. In Asia, most markets were in the red, with traders unable to take advantage of weak US retail data that raised the chances of another Federal Reserve interest rate cut. Comments in the Fed’s Beige Book update on the economy also pointed to a slowdown.

Hong Kong added 0.7% but Shanghai finished 0.1% lower and Tokyo lost 0.1%.

Sydney sank 0.8%, Singapore shed 0.7% and Seoul retreated 0.2%t, with Wellington and Manila also off. There were gains in Taipei, Mumbai, Bangkok and Jakarta.

Speculation about a possible US rate cut provided support to higher-yielding currencies against the dollar, with the Australian dollar 0.6 percent up and the South Korean won 0.1 percent stronger. The Thai baht, the Mexican peso and the South African rand also posted healthy gains.

Oil prices fell after data pointed to a sharp rise in US stockpiles that reinforced worries about the impact on demand from the China-US trade war and the global economic slowdown.

Key markets today

Pound/dollar: DOWN at $1.2784 from $1.2817 at 2100 GMT

Euro/pound: UP at 86.65 pence from 86.33 pence

Euro/dollar: UP at $1.1081 from $1.1073

Dollar/yen: UP at 108.80 yen from 108.71 yen

London – FTSE 100: UP 0.1 percent at 7,175.09

Tokyo – Nikkei 225: DOWN 0.1% at 22,451.86 (close)

Hong Kong – Hang Seng: UP 0.7% at 26,848.49 (close)

Shanghai – Composite: DOWN 0.1% at 2,977.33 (close)

West Texas Intermediate: DOWN 56 cents at $52.80 per barrel

Brent North Sea crude: DOWN 55 cents at $58.87 per barrel

New York – Dow: DOWN 0.1% at 27,001.98 (close)

SOURCE: Agence France-Presse

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