Turkey Outlook Cut by S&P Citing ‘Hard Landing’ Risk - Bloomberg

Turkey Outlook Cut by S&P Citing ‘Hard Landing’ Risk - Bloomberg:



"Turkey’s credit rating outlook was cut to negative from stable by Standard & Poor’s, which said there’s a growing risk of a “hard economic landing” as reserves decline and policy makers spar over interest rates.



The lira reversed gains after the announcement late yesterday, falling 0.4 percent to 2.2195 per dollar at 11:30 p.m. in Istanbul.



The move by S&P, the only one of the three main credit rating companies that doesn’t classify Turkish debt as investment grade, comes after the country’s central bank reversed policy and raised interest rates to halt a currency slump. The government has been calling for borrowing costs to be kept low, and says it has alternative plans to revive the economy and the lira."



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