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Market Impact: 0.35

Erdogan says Trump asked Turkey to convince Hamas to back Gaza plan

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Geopolitics & WarTrade Policy & Supply Chain
Erdogan says Trump asked Turkey to convince Hamas to back Gaza plan

Turkish President Erdogan announced that U.S. President Trump has asked Turkey to mediate with Hamas to secure support for his proposed Gaza peace plan. Turkey, a vocal critic of Israel that has halted trade with the country, is actively engaged in negotiations in Egypt and communicating with Hamas to explain the proposal's requirements. Ankara aims to achieve a full ceasefire, facilitate aid delivery, and establish Palestinian governance in Gaza as part of a two-state solution, underscoring its pivotal role in regional diplomatic efforts.

Analysis

ANKARA, Oct 8 (Reuters) - Turkey has been asked by U.S. President Donald Trump to help convince Hamas to support his plan to end Gaza's war and it has been explaining to the group what needs to be done, President Tayyip Erdogan said. Earlier on Wednesday, Hamas said it had exchanged a list of the names of Israeli hostages and Palestinian prisoners to be released under a swap deal, saying it was optimistic about talks in Egypt on Trump's plan. The Reuters Gulf Currents newsletter brings you the latest on geopolitics, energy and finance in the region. Sign up here. Advertisement · Scroll to continue Turkey, which has voiced support for the plan and joined the negotiations in Egypt, has been one of the most vocal critics of Israel's offensive, which it calls a genocide. It has halted all trade with Israel, called for international measures against its government, and demanded a two-state solution. In comments to reporters on a flight back from Azerbaijan, Erdogan said Turkish officials were involved in negotiations in Egypt's Sharm el-Sheikh on Wednesday, and added that Trump had asked Turkey to convince Hamas to accept the proposal. "We have been in contact with Hamas throughout this process. We are in contact with them now too," Erdogan said, according to a transcript of his comments shared by his office. Advertisement · Scroll to continue "We are explaining to them what the most appropriate way is, what needs to be done for Palestine to march with commitment into the future." "Both in our America visit and our latest phone call, we explained to Mr. Trump how a solution in Palestine can be achieved," he said, referring to his visit to the White House last month. "He specifically requested that we speak to Hamas and convince them. We rapidly got in touch with our counterparts on this," he added. Turkey's intelligence chief Ibrahim Kalin, who attended the last round of talks in Doha, is involved in the negotiations in Egypt. Asked about a potential Turkish troop deployment to Gaza in a post-war scenario and ways to ensure security in the enclave, Erdogan said the talks in Sharm el-Sheikh were critical for discussing the issue in detail, but that the priority was achieving a full ceasefire, securing aid deliveries, and rebuilding Gaza. Ankara was ready to contribute to all efforts in post-war Gaza, he said, adding Gaza must be part of a Palestinian state and be governed by Palestinians. Reporting by Tuvan Gumrukcu and Daren Butler; Editing by Alison Williams, William Maclean Our Standards: The Thomson Reuters Trust Principles. Turkish President Erdogan announced that the U.S. President requested Turkey's assistance in persuading Hamas to back the proposed Gaza peace plan. This diplomatic push follows Hamas's expressed optimism regarding ongoing talks in Egypt, where a list for a prisoner and hostage exchange was reportedly shared. Turkey, a vocal critic of Israel, has already ceased all trade and advocates for a two-state solution. Turkish officials, including intelligence chief Ibrahim Kalin, are actively participating in negotiations in Sharm el-Sheikh. Erdogan confirmed continuous contact with Hamas, explaining the necessary steps for Palestine's future commitment, underscoring Ankara's significant diplomatic leverage in the region. This development carries a "mildly positive" sentiment score of 0.25, reflecting cautious optimism for de-escalation. Ankara's primary objectives are achieving a full ceasefire, ensuring aid deliveries, and rebuilding Gaza, with the ultimate goal of establishing a Palestinian state governed by Palestinians. Turkey's willingness to contribute significantly to post-war Gaza reconstruction highlights its long-term strategic interests. While the market impact score is 0.35, suggesting limited immediate broad market reaction, the long-term implications for regional stability could be substantial.

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Market Sentiment

Overall Sentiment

mildly positive

Sentiment Score

0.25

Ticker Sentiment

TRI0.00

Key Decisions for Investors

  • Investors should closely monitor geopolitical developments related to the Gaza conflict, as Turkey's mediating role and the "mildly positive" sentiment could indicate potential shifts in regional stability and risk premiums.
  • Evaluate potential impacts on trade and supply chains given Turkey's explicit halt of trade with Israel and its enhanced diplomatic engagement, which could influence companies with regional exposure or specific commodity flows.
  • Assess the long-term implications for infrastructure and reconstruction sectors in the Middle East, as Turkey's commitment to rebuilding Gaza could signal future investment opportunities should a comprehensive peace plan materialize.