Daily Bulletin

Good morning. Global risk appetite is subdued this morning. The main driver behind current market pricing is the news flow in the U.S. media suggesting that Israel may be preparing for a potential strike against Iran. Moody’s recent downgrade and the growing emphasis by Federal Reserve officials on increasing uncertainty regarding the economic outlook continue to weigh on U.S. indices. On the other hand, European markets are showing a notable positive divergence on a global scale, with gains of up to 1%. In Asia, China’s decision to cut interest rates stands out as a risk-supportive development, while the slowdown in Japan’s export growth is exerting pressure on the Tokyo Stock Exchange. Domestically, the approximately TRY 3 billion net capital outflow recorded yesterday weakened the technical momentum. The high interest rate environment, uncertainties surrounding corporate earnings ahead of the summer season, and ongoing political risks continue to exert pressure on the market. The BIST 100 index closed the day at its intraday low, with the 9,500-point level maintaining its significance as a key support. Should intraday pressure persist, the 9,450 – 9,350-point support range could be monitored, while potential upward reactions may target the 9,555/9,770 resistance levels. Downward revisions in 12-month average target levels for the BIST 100 index are slowing, with the average analyst forecast hovering around 13,800 points. Both domestic and international economic calendars are relatively light today. Turkey’s 5-year CDS premium starts the day at 294 basis points.