LONDON, April 6 (Reuters) - The cost of insuring exposure to Turkish sovereign debt rose on Friday to the highest level in eight days on investors’ concern about the outlook for monetary policy and inflation.
Turkish five-year credit default swaps rose 2 basis points (bps) from Thursday’s close to 198 bps, according to IHS Markit data. The lira hit fresh record lows to the dollar.
“Inflation was quite high and it’s still a concern for investors how vigilant the central bank will be as this is undermining the competitiveness of the Turkish economy,” said Jakob Christensen, head of EM research at Danske Bank. (Reporting by Karin Strohecker; editing by Claire Milhench)