ISTANBUL: The Turkish lira and stocks were slightly weaker on Monday after ratings agency Standard & Poor's affirmed Turkey's sub-investment grade credit rating and kept its outlook at negative.
Standard & Poor's said on Friday it expected Turkey's current account deficit, its main economic weakness, to remain close to 5.3 percent of output until 2017, with falling oil prices helping the economy to rebalance.
The agency, which affirmed its unsolicited BB+ rating, one notch below investment grade, said it saw elevated policy risks in the run-up to next June's general election and due to the fighting in Iraq and Syria on Turkey's southern borders.
The lira slipped slightly to 2.2296 against the dollar from 2.2260 late on Friday. Istanbul's main share index fell 0.34 percent to 82,999.69 points by 1009 GMT.
The benchmark 10-year government bond yield rose to 8.3 percent from Friday's spot close of 8.26 percent.
Markets also eyed November capacity utilisation and confidence data, to be announced by the central bank on Monday, which will give clues to economic performance in the final quarter of the year.
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