Turkey’s CDS rises to eight-month high amid anti-government protests, BIST-100 slumps.

By bne IntelliNews June 6, 2013

The anti-government protests continued on Wednesday despite an apology from Deputy PM Bulent Arinc for the violent police crackdown on initial protests last week.

The benchmark Bourse Istanbul 100 index was down 1.4% d/d on Wednesday closing at 76,637 after it recovered slightly on Tuesday. On Monday the index slumped 10.5%, one of the biggest daily decline in a decade. Two-year government bond yields remained almost flat at 6.24% from Tuesday’s 6.23% after hitting 6.47% on Monday. TRY fell against USD and EUR.

Turkey’s five-year credit default swaps widened to an eight-month high of 148 basis points. Turkey secured its second investment grade in May but on-going anti-government protests are threatening its political stability and hurting investor sentiment. PM Recep Tayyip Erdogan is expected return from an official visit to North Africa on Thursday. The markets are anxious about his reaction. Erdogan initially dismissed the protestors as looters, extremists and a marginal group.

  Before the Unrest After the Unrest
  31-May 5-Jun 6-Jun
BIST-100                   85,990                80,733         79,637
USD (CBT, bid) 1.8842 1.8745 1.8796
EUR (CBT, bid) 2.4498 2.4522 2.4572
Bond (benchmark*, compound) 5.61% 6.23 6.24
Source: Bourse Istanbul, TCMB, * 07/01/15    

Related Articles

Turkey ups steel exports 28% in 2024 driven by EU shipments, US takes just small percentage

Turkey upped its steel exports by 27.6% y/y in 2024 to 13.4mn tonnes, according to the Turkish Steel Association (TCUD). Growth was driven by shipments to the European Union (5.9mn tonnes, up ... more

TPAO arm contracts Subsea7 for Sakarya gas field work offshore Turkey

Turkish Petroleum Offshore Technology Centre AS (TP-OTC) has contracted international offshore service provider Subsea7 to provide inspection, repair and maintenance (IRM) services at the Sakarya ... more

Turkish firm Bonysocks earmarks $50mn to build Egyptian factory

Turkish socks manufacturing company Bonysocks plans to invest $50mn to build a new factory in Egypt, Al Ahram reported on January 12 citing the Turkish Ambassador in Cairo, Salih Mutlu Şen.  ... ... more

Dismiss