Turkey - Factors to Watch on May 28

ISTANBUL, May 28 (Reuters) - Here are news stories, press reports and events that could affect Turkish financial markets on Thursday.

The lira IYIX= was trading at 1.5625 to the dollar in early trade after closing at 1.5665 on Wednesday. Istanbul's main share index rose 0.88 percent at 35,168.73. The benchmark Feb. 2, 2011, bond <0#TRTSYSUM=IS> yield rose to 12.61 percent from 12.44 percent the previous day.

GLOBAL MARKETS

Asian shares retreated from seven-months highs on Thursday as concerns grew that rising yields on U.S. government debt could push up borrowing costs and choke off a potential recovery in the world's largest economy.

U.S. home sales picked up in April, but the positive sign was outweighed by worries that the U.S. government was incurring too much debt as it tries to spend its way out of recession, sending Treasury prices falling along with stocks.

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CENTRAL BANK REPORT

The Central Bank releases its semi-annual financial stability report. 0700 GMT.

ECONOMIC MEETING

Economy Minister Ali Babacan and Akbank (AKBNK.IS) CEO Suzan Sabanci are among the participants at the Forum Istanbul meeting. 0600 GMT.

HURRIYET (HURGZ.IS)

The newspaper publisher, a unit of Dogan Yayin Holding (DYHOL.IS), says it aims to use 50 percent of its assets, which totalled 1.929 billion lira at the end of March, for collateral to secure financing.