Daily Bulletin

Good morning. A thin year-end trading environment with limited market participation continues to prevail across global equity markets. Signals in the Fed minutes suggesting a period of pause following the December rate cut have played a key role in the loss of momentum, as markets now price the next initial rate cut for June 2026. That said, liquidity injections into the financial system via bond purchases are expected to continue, helping to limit concerns surrounding interest rates. U.S. futures are slightly negative this morning, European futures are not trading, while Asian markets that are open are generally under selling pressure. In Borsa Istanbul, following the rebound from the 11,150 support level, the index recovered to 11,220. Yesterday’s 0.6% increase in the index was driven mainly by positive contributions from ASELS, BIMAS, TUPRS, THYAO, and FROTO, while TURSG, DSTKF, EFOR, DOHOL, and PATEK exerted negative pressure. Over the past week, stocks drawing attention with consistent fund inflows include ASELS, KCHOL, TTKOM, BERA, and TOASO. In the short term, initial resistance levels are seen at 11,320, 11,430, and 11,470, while support levels are located in the 11,070–11,100 range and the 10,950–11,000 range. As today marks the final trading day of December and, accordingly, the last trading day for equity contracts traded on VIOP, the unwinding of arbitrage positions may generate pressure on BIST. However, if the partially improving momentum observed yesterday is maintained, selling from this channel may be absorbed and the rebound could extend. On today’s agenda, the domestic foreign trade balance and U.S. weekly initial jobless claims will be closely monitored. Turkey’s five-year CDS spreads remain flat at 204 basis points and are set to close the year at their lowest level since 2018. We wish all investors a healthy, happy, and peaceful new year.