April 17, 2019 / 11:57 AM / 9 days ago

Turkey dollar bonds rally on global backdrop, hopes for U.S. breakthrough

DUBAI, April 17 (Reuters) - Turkey’s dollar-denominated sovereign bonds rallied on Wednesday, boosted by hopes of a better global backdrop and a breakthrough between Turkey and the United States over Ankara’s planned purchase of Russian military equipment.

The country’s 2045 bond surged as much as 1.5 cents in the dollar, according to Tradeweb data.

After the recent meeting between Turkish Finance Minister Berat Albayrak and U.S. President Donald Trump “there is an assumption of some deal between Turkey and the U.S. on S-400s,” said Timothy Ash of BlueBay Asset Management.

Ankara’s plan to buy the S-400 system has fueled tensions between the NATO allies and Washington has said Ankara could face sanctions over the issue.

The Turkish bond rally was also due to an improved global backdrop, lifted by a raft of Chinese data that beat expectations, said Ash. (Reporting By Tom Arnold; Editing by Dhara Ranasinghe)

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below