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Turkish 5Y CDS Rises as Russia Tensions Dent Global Risk Sentiment

TURKEY
  • Local & USD rates remain Unch this morning, but may come under pressure as risk-off filters through from the APAC session following Russia’s recognition of the DPR & LPR overnight. UST yields have fallen as the safe-haven bid gains traction.
  • Risk assets remain vulnerable to outflows with Turkey decidedly exposed to volatility in Russia due to its import dependence on many key Russian exports like wheat and energy.
  • Turkey’s 5Y CDS rose +7.6bp yesterday, but may be pressured higher due to these vulnerabilities.
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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