Turkish Bank Stocks Rally as S&P Global Raises Rating Outlook
Skyscraper office buildings in the Levent area of Istanbul.
Photographer: Nicole Tung/BloombergThis article is for subscribers only.
Shares of Turkish lenders climbed to the highest level in seven weeks after S&P Global Ratings raised Turkey’s credit outlook to positive in a nod to monetary policy changes.
The Borsa Istanbul Banks Index, which tracks shares of Turkey’s listed lenders, surged as much as 4.6% before trading 3.8% higher as of 11:09 a.m. in Istanbul. Gains on Friday also put the banking index on course for its biggest weekly advance since Sept. 8. Government bonds extended gains, with the yield on the 10-year falling by 55 basis points to 27.2%, while five-year credit default swaps were little changed.