Turkiye G.ads4a Share News (39IS)

Wed, 3rd Nov 2010 14:00

ISTANBUL, Nov 3 (Reuters) - Turkish markets traded mixed on Wednesday, with shares propped up by a 10 percent surge in publisher Dogan Yayin on hopes a change in the law may ease its tax fines, although higher inflation hit bonds.

By 1130 GMT the National ISE 100 rose 0.36 percent to 68,771 points, slightly underperforming the MSCI index of benchmark stocks.

Dogan Yayin, which is fighting a 3.8 billion lira tax fine, and is in talks with international media companies on selling some of its units, was the largest gainer and second most actively traded stock..

Media reports said it may benefit from a draft law restructuring tax debts, which could lead to a substantial cut in its tax fines.

Shares in lender Garanti dropped 0.46 percent to 8.64 lira, weighed down after strong gains this year by lingering disappointment at the price BBVA paid for a stake in the bank and selling pressure on its disappointing third-quarter results.

The lira meanwhile firmed to 1.4080 against the dollar on the interbank market from 1.412 the previous day, supported by strong global sentiment in anticipation that the U.S. Federal Reserve's meeting will announce plans to further boost liquidity.

'The Fed is the only real talking point today. Against a background where the Fed is expected to expand its quantitative easing programme, equity markets are firmer and emerging market currencies are flat or slightly firmer against their benchmark listings,' analysts at Royal Bank of Canada said in an email.













The yield on the benchmark Aug. 8, 2012, bond rose to 7.64 percent from the previous day's 7.58 percent, after Turkish inflation rose more than expected in October due to high food prices, while benign core indices backed the central bank's loose policy stance until late 2011 .

(Editing by Ruth Pitchford) Keywords: MARKETS TURKEY/

(alexandra.hudson@reuters.com; +90 212 350 7062; Reuters Messaging: alexandra.hudson.reuters.com@reuters.net)

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