Insurgents' Iraq advance poses security, eco**mic risk for Turkey

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By Nick Tattersall ISTANBUL (Reuters) - The advance of Sunni militants in Iraq leaves Turkey facing a widening Islamist insurgency in two of its southern neighbors, endangering domestic security, threatening important trade routes and forcing it again to rethink Middle Eastern policies. Militants from the Islamic State in Iraq and the Levant (ISIL) overran the **rthern Iraqi city of Mosul, 110 km (68 miles) from the Turkish border, earlier this week and have since thrust southwards towards Baghdad, seat of the Shi'ite Muslim-led central government. Their lightning ascendancy in Turkey's second biggest export market and biggest oil supplier compounds the challenges confronting Prime Minister Tayyip Erdogan, already contending with a slowing eco**my and the spillover from Syria's civil war where ISIL has also seized *****es of border territory. Turkey's lira currency fell to its weakest point in six weeks against the dollar on Friday, while stocks, bonds and the cost of insuring Turkish debt against default have also been volatile.

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