Daily Bulletin
Tacirler Investment
Good morning. Global risk appetite is weak this morning. U.S. stock markets will be closed today due to the National Day of Mourning declared for former President Jimmy Carter, while bond markets will operate on a half-day schedule. Despite the low trading volume, U.S. futures are slightly negative this morning, European futures are flat, and in Asia, Japan is down while the rest of the Asian markets remain balanced. In Borsa Istanbul, in addition to the weakness in international markets, we observed selling pressure stemming from cash generation ahead of large-scale IPOs. Starting today, we expect this pressure to ease and anticipate a recovery attempt in the BIST. For the BIST 100 index, short-term support levels are at 9,820 and 9,780; resistance levels are in the 9,960–10,000 range and at 10,160. On today's agenda, the Central Bank of Turkey's weekly announcement of reserves and foreigners' securities transactions will be monitored. Turkey's 5-year CDS premiums start the day at 268 basis points. We believe the recent increase in CDS premiums is largely driven by external factors. For instance, U.S. CDS premiums are also trading at their highest levels in 1–2 months. That said, we expect a credit rating upgrade from Moody’s on January 24, which could slightly ease Turkey's CDS premiums.