Turkish Stocks Rise as Europe’s Debt Concern Eases; Yields Fall
Stocks rose and bond yields fell for a second day as reports China may buy European debt eased concern the region’s credit crisis will deepen, offsetting data that cast doubt on the pace of the U.S. economic recovery.
The main ISE National 100 index (XU100) of shares rose 0.2 percent to 63,755.35 at the 5:30 p.m. close. Yields on two year benchmark bonds fell 1 basis point, or 0.01 percentage point, to 8.90 percent, the lowest in a week.
European Financial Stability Facility Chief Executive Officer Klaus Regling said Asian investors, including China, may buy Portuguese bailout bonds when the EFSF begins selling them in June, the Financial Times reported. Stocks pared gains after data showed U.S. gross domestic product trailed economists’ forecasts, and jobless claims unexpectedly rose.
“Europe opened positively on reports that China would buy European bonds and Turkey is rising on this positive movement,” Suha Yaygin, deputy chief of emerging markets at Toronto- Dominion Bank in London, wrote in e-mailed comments.
The European Union buys 48.3 percent of Turkish exports, the statistics institute data in March showed.
The lira was little unchanged at 1.6068 per dollar.
To contact the reporter on this story: Selcuk Gokoluk in Istanbul at email@example.com
To contact the editor responsible for this story: Gavin Serkin at firstname.lastname@example.org