Daily Bulletin

Good morning. Market pricing in Asia is setting the tone for global markets this morning. Apple’s decision to raise product prices due to increasing chip costs, speculation that OpenAI’s IPO may be postponed until 2027, and higher-than-expected inflation data from Japan have triggered sharp selling across Asian equities. U.S. and European equity futures are also trading noticeably lower. In Borsa Istanbul, despite the easing in oil prices, the deterioration in the technical outlook and growing expectations that the Central Bank of the Republic of Türkiye (CBRT) will not rush to lower its effective funding rate led to selling pressure in banking stocks, which declined between 2% and 5% yesterday. As a result, the BIST 100 Index fell 0.5% to close at 14,259, ending the session just above the key 14,250 support level that we have been highlighting. The main positive contributors to the index were DSTKF, ASELS, THYAO, TUPRS, and CCOLA, while AKBNK, YKBNK, ISCTR, KTLEV, and SAHOL weighed most heavily on performance. On weekly flow data, EREGL, GARAN, ASTOR, and CRDFA continued to stand out with consistent net inflows. From a technical perspective, a decisive break below the 14,250 support level could open the way for a deeper correction toward 13,800. Given the broad-based weakness across global markets this morning, we believe investors should remain cautious and defensive throughout today's session. On the upside, 14,450 and 14,600 will be monitored as key resistance levels. On the positive side, the United States has formally notified Congress regarding the sale of F110 jet engines to be used in the serial production of Türkiye’s indigenous KAAN fighter aircraft. The package, valued at approximately USD 700 million, could pave the way for the acquisition of 80 F110 engines, along with test equipment and spare parts. In addition, foreign capital inflows into Türkiye have started to recover. The extent to which these developments can support the BIST 100 Index will be closely monitored. The economic calendar is relatively quiet today. Finally, Türkiye’s 5-year CDS premium begins the day at 220 basis points.