Turkish Lira Strengthens Seventh Day on European Debt Deal

The lira rallied for a seventh day on Europe’s agreement to boost a bailout fund and write down Greek debt.

The lira gained 0.1 percent to 1.7460 at 9:04 a.m. in Istanbul, extending its streak of appreciations to seven days, the longest since July 2010.

Benchmark gauges of credit risk plunged globally yesterday after European leaders agreed to a rescue package for debt-laden nations and investors unloaded protection against a deal failing to materialize.

“The European Union’s decisions turned the risk-taking appetite into positive,” Fatih Keresteci, a strategist at the HSBC Bank AS, said in a note to clients. The lira may appreciate below 1.74 per dollar today, he said.

Turkish markets will close midday today for a public holiday.

To contact the reporter on this story: Selcuk Gokoluk in Istanbul at sgokoluk@bloomberg.net

To contact the editor responsible for this story: Gavin Serkin at gserkin@bloomberg.net

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