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TurkGBs Firm Slightly Ahead of This Week's CBRT, 5Y CDS Stable

TURKEY
  • Local & USD rates seen little changed this morning, having closed marginally firmer in yesterday's session.
  • TurkGBs drifted -3-7bp lower on the day with 3-5Y yields most bid, while USD bonds traded marginally in the green with a slight bull steepening bias.
  • TurkGBs are likely to remain under pressure heading into the CBRT meeting with broad expectations for at least another 100bp cut at this meeting pushing real rates deeper into negative territory.
  • Turkey's 5Y CDS has remained stable so far this week in the 400-410 zone, while 1w-1m risk reversals have continued to tick higher as markets add upside protection ahead of the CBRT meeting.
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com
MNI London Bureau | +44 020-3983-7894 | murray.nichol@marketnews.com

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