LONDON, March 28 (Reuters) - The cost of insuring exposure to Turkish sovereign debt rose on Wednesday to the highest level since end-November on investors’ concern about double-digit inflation, the country’s sensitivity to higher U.S. interest rates and geopolitical woes.
Turkish five-year credit default swaps rose 5 basis points (bps) from Tuesday’s close to 203 bps, according to IHS Markit data. The lira also weakened to the psychologically important level of 4.0 to the U.S. dollar.
Turkish inflation has remained stubbornly high, hitting 10.26 percent in February, with the March print due next week. (Reporting by Claire Milhench; editing by Karin Strohecker)