President Recep Tayyip Erdogan said on Tuesday that Turkey would boycott electronic products from the United States, retaliating in a row with Washington that helped drive the lira to record lows. "Together with our people, we will stand decisively against the dollar, forex prices, inflation and interest rates. We will protect our economic independence by being tight-knit together," he told members of his AK Party in a speech. The lira has lost more than 40 percent this year and crashed to an all-time low of 7.24 to the dollar on Monday, hit by worries over Erdogans calls for lower borrowing costs and worsening ties with the United States. The liras weakness has rippled through global markets. Its drop of as much as 18 percent on Friday hit European and US stocks as investors fretted about banks exposure to Turkey. On Tuesday the lira recovered some ground, trading at 6.4000 to the dollar at 1751 GMT, up almost eight percent from the previous days close and having earlier touched 6.2995. It was supported by news of a planned conference call in which the finance minister will seek to reassure investors concerned by Erdogans influence over the economy and his resistance to interest rate hikes to tackle double-digit inflation. Erdogan says Turkey is the target of an economic war, and has made repeated calls for Turks to sell their dollars and euros to shore up the national currency. The United States has imposed sanctions on two Turkish ministers over the trial on terrorism charges of a US evangelical pastor in Turkey, and last week Washington raised tariffs on Turkish metal exports. It was unclear whether Erdogans call was widely heeded, but a Turkish news agency said traders in Istanbuls historic Eminonu district converted $100,000 into lira on Tuesday. Erogan also said Turkey was boycotting US electronic products. "If they have iPhones, there is Samsung on the other side, and we have our own Vestel here," he said, referring to the Turkish electronics company, whose shares rose 5 percent. His call met a mixed response on Istanbul streets. "We supported him with our lives on July 15," shopkeeper Arif Simsek said, referring to a failed 2016 military coup. "And now we will support him with our goods. We will support him until the end." But shopkeeper Umit Yilmaz scoffed. "I have a 16-year-old daughter. See if you can take her iPhone away ... All these people are supposed to not buy iPhones now? This cant be." Erdogan said his government would offer further incentives to companies planning to invest in Turkey and said firms should not be put off by economic uncertainty. "If we postpone our investments, if we convert our currency to foreign exchange because theres danger, then we will have given into the enemy," he said. Although the lira gained some respite on Tuesday, investors say measures taken by the Central Bank on Monday to ensure liquidity failed to address the root cause of lira weakness. "What you want to see is tight monetary policy, a tight fiscal policy and a recognition that there might be some short-term economic pain -- but without it theres just no credibility of promises to re-stabilize things," said Craig Botham, Emerging Markets Economist at Schroders. Dollar-denominated bonds issued by selected Turkish banks continued to fall on Tuesday, although sovereign bonds steadied.