Daily Bulletin

Good morning. While expectations for Fed rate cuts remain intact, the rebound observed in U.S. equities over the past four sessions has only now been sufficient to break above last week’s post-Nvidia-earnings highs. U.S. markets will be closed today due to the Thanksgiving holiday; tomorrow, trading will open in the morning but close early for a half-day session. European futures and Asian markets are once again holding in positive territory this morning. Domestically, market participants focused on the remarks delivered by CBRT Governor Fatih Karahan during last night’s live broadcast. Overall, his commentary was broadly aligned with the view that next Wednesday’s November inflation print could come in on the softer side (Tacirler Investment expectation: monthly CPI at 1.2%), potentially reinforcing market pricing for a rate cut at the 11 December MPC meeting. This narrative continues to be highly supportive for Borsa Istanbul, which has already benefited several times this year from similar rate-cut expectations. In particular, the banking sector stands out as a key beneficiary of this backdrop. Yesterday, the BIST-100 Index ended a three-day losing streak with a 0.53% gain. The top five contributors to the upside were DSTKF, ASELS, BIMAS, TUPRS and OYAKC, while ENERY, PASEU, KONTR, SASA and BTCIM exerted the heaviest drag. Over the past week, steady capital inflows have been notable in ASELS, DSTKF, OYAKC, TOASO, SAHOL and TTKOM. Today’s domestic agenda includes economic confidence data, the trade balance, CBRT reserves and foreign transactions. There are no macro releases scheduled in the U.S. today or tomorrow. In Europe, confidence indicators and the ECB’s 1- and 3-year inflation expectations will be in focus. Turkey’s five-year CDS opens the day at 241 basis points.