Hazineden Güne Bakış

Turkish rates stayed elevated as the 2-year closed near 40% and the 10-year around 35%, while the 5-year and 10-year dollar eurobond yields traded at 7.10% and 7.65%. Country risk premium stood at 230 bps and USD/TRY hovered around 48.7. In the U.S., August industrial production fell 0.3% against expectations, capacity utilization was unchanged at 76.3%, the 10-year Treasury yield was 4.96 and the dollar index at 100.22. Brent traded near USD 98 and gold around USD 4,350/oz.

Near term focus is on Turkey’s September capacity utilization and August central government debt stock due today; no major overseas data are scheduled. The Treasury’s recent TL auctions cleared with average composite yields roughly 35–41% across 2–8 year tenors. For September, the financing program envisages TRY 343 bn funding against TRY 297 bn domestic debt service, with market borrowing at TRY 282 bn and an internal rollover ratio of 95%.