Turning to the Turkish economy. Turkey's central bank decided to raise interest rates on Thursday. However, Turkish President Tayyip Erdogan disagreed with the move. Our Michal Bardavid reports from Istanbul.

MICHAL BARDAVID ISTANBUL "Following much anticipation both from local and foreign investors, Turkey's Central bank announced its decision to increase interest rates on Thursday. The bank announced increased its benchmark interest rate by 625 basis points from 17.75 percent to 24 percent. This was even beyond the expectation of many economists who had been emphasizing the move was necessary to boost the Turkish economy. Inflation figures reached nearly 18 percent in August. However, Turkish President Tayyip Erdogan says interest rates should be kept low.

TAYYIP ERDOGAN TURKISH PRESIDENT "When handling interest rates and inflation as a cause and effect relationship, interest rates are the cause and inflation is the result. If you say inflation is the cause and interest rates are the result, you don't know this business. You don't know."

MICHAL BARDAVID ISTANBUL "Markets responded well to the central banks' decision. The Turkish lira which has lost over 40 percent of its value since the beginning of the year, gained about 3 percent of its losses on Thursday. While, Turkey's BIST 100, stock exchange ended the trading day with an increase of 2.38 percent. The liras fall this year was hit harder in August due to a political dispute with Washington over a detained American pastor. On Thursday Erdogan also announced a decision that transactions within the real estate industry would no longer be allowed in foreign currencies to support the Turkish lira."