The Turkish lira got a boost today with news that Qatar was throwing a life vest to Turkey in the form of a $15 billion loan to help keep its banking sector afloat. This effectively prevents Turkey from having to ask the International Monetary Fund for emergency assistance.
Fixed-Income Safe Havens
With safe-haven government debt ticking lower, corporate bond ETFs like the iShares iBoxx $ Invmt Grade Corp Bd ETF (NYSEArca: LQD) gained. LQD capitalized on benchmark Treasury yield weakness, gaining 0.19% and 0.38% within the past five days.
LQD seeks to track the investment results of the Markit iBoxx® USD Liquid Investment Grade Index composed of U.S. dollar-denominated, investment-grade corporate bonds. LQD allocates 95 percent of its total assets in investment-grade corporate bonds to mitigate credit risk.
Related: Possible Carnage in the Bond Market
For more trends in fixed income, visit the Fixed Income Channel.