Daily Bulletin

Good morning. In the U.S., plans to impose restrictions on dividend payments and share buyback activities of companies operating in commercial real estate investments and the defense sector have led to selling pressure in related stocks, while warnings of a potential broader correction on Wall Street are also weighing on risk appetite. This morning, U.S. and European futures, along with Asian equities, are trading mostly in negative territory. In Borsa Istanbul, the index tested the 12,124 level yesterday, bringing the rally that started around 11,100 on December 30 to a gain of nearly 1,000 points. However, news flow regarding SDG-related interventions in certain areas of Aleppo during the second half of the session triggered some selling pressure in the market. Despite this, the BIST 100 Index managed to close marginally higher, up 0.04%. The top five positive contributors to the index were KLRHO, ASELS, BIMAS, PASEU, and THYAO, while banks—particularly AKBNK, YKBNK, GARAN, and ISCTR—weighed negatively on the index. Stocks that have attracted steady fund inflows over the past week include KCHOL, BIMAS, THYAO, TRALT, TCELL, TUPRS, PGSUS, SAHOL, AEFES, TOASO, ULKER, and VAKBN. The increase in the number of major companies experiencing consistent inflows points to a broad-based investor interest in Borsa Istanbul, which we view as a healthy and confidence-supportive development for the period ahead. Nevertheless, after the strong move from the 11,000 to the 12,000 level, a period of consolidation in the BIST 100 Index cannot be ruled out. From a technical standpoint, resistance levels are seen at 12,120, 12,200, and 12,500, while supports are located at 11,190, 11,800, and 11,600. On today’s agenda, domestic data will include CBRT reserves and foreign investor transactions; in Europe, confidence indices and PPI figures will be monitored; and in the U.S., employment and foreign trade data will be in focus. Turkey’s 5-year CDS spreads start the day at 212 basis points.