Daily Bulletin

Good morning. Geopolitical stress continues, but the fact that markets have already priced in some of the risk—and that the latest news flow has not brought any additional negative surprises—has triggered a rebound in equities. We can also say that macro data and corporate financials have supported this rebound. After four days of weakness in U.S. equities, part of the losses was recouped yesterday, and Europe showed a similar pattern. However, U.S. and European futures are in negative territory this morning, while in Asia, yesterday’s positivity is only being reflected in today’s pricing. In particular, South Korea—down 12% yesterday—stands out with gains exceeding 10% this morning. In Borsa Istanbul, trading was largely flat yesterday throughout the session. The BIST 100 Index closed at 12,943, up just 10 points. ASELS, DSTKF, BIMAS, KTLEV, and CCOLA contributed positively to the index, while KLRHO, TUPRS, ASTOR, TCELL, and HALKB weighed on performance. Over the past week, stocks drawing attention due to consistent inflows include ASELS, THYAO, ODAS, CCOLA, and LMKDC. From a technical perspective, the 13,000 level can be monitored as a pivot. Below it, 12,700 and 12,400 are key support levels; above it, 13,150 and 13,450 are resistance levels. 4Q25 earnings season continues. 55% of companies have reported results so far, and we are seeing year-on-year improvement in 26% of them (the respective ratios in 2Q25 and 3Q25 were 22% and 24%). Despite geopolitical developments, upward target price revisions have continued following earnings releases. Based on the latest figures, the 12-month BIST 100 index target stands at 17,360, implying a 34% upside potential at the index level. On today’s agenda, we will be watching reserves and weekly foreign flows domestically; retail sales in Europe; and weekly initial jobless claims in the U.S. Turkey’s 5-year CDS spreads start the day at 235 bps.