Turkish planes have launched fresh bombing raids on sites in the mountains of south east Turkey, following an attack on a military convoy which left as many as 15 Turkish soldiers dead and many more wounded.

This attack stands as the most serious in recent times after two year cease fire ended by PKK.

Turkish Lira has taken a hit again today, as political situation worsens in the country along with economic deterioration.

Mr. Erdogan's party failed to secure majority for the first time since its inception in this year's election and the country now facing fresh election in November.

Turkish Lira is currently trading at 3.0353 against Dollar, down more than 1% today so far and down more than 30% this year so far.

Further depreciation seems likely as Government is now focusing on November election to gain control rather than much awaited political reform.

Analysts predict, situation in turkey on the military front is likely to get worse as well as depreciation in Lira.