Daily Bulletin

Good morning. Following the sharp selling in technology companies in the U.S. on Friday, the new week is starting on an optimistic note in search of a rebound. While the situation in the Strait of Hormuz has still not become clear, the constantly escalating tension between Ukraine and Russia is also being followed by markets. Brent crude oil prices, after climbing as high as USD 108/barrel in the active contracts last week, are in the USD 106/barrel area this morning. U.S. futures and Asian markets are generally positive, while European futures, struggling with budget problems and street protests, are starting the week with selling. In Borsa Istanbul, on the other hand, the selling process continues. MSCI's postponement of the period previously defined until November to June 2027, while suspending index changes during this process, is causing the reluctance of institutional investors in particular regarding the Turkish equity market to continue. Companies, meanwhile, continue their operations, and we do not have a negative expectation regarding the financial performance of listed companies in general. 12-month valuations point to around 17,500 for the BIST 100 index and a return potential approaching 50% on an index basis. Once the current stressful period stabilizes, we think this potential will offer a catalyst. Turning to Friday, while the BIST 100 Index fell 2.9% to 11,721 points, the companies contributing to the index were GLYHO, BRSAN, AKFYE, ENTRA, TCKRC, while those with a negative impact on the index were BIMAS, ASELS, TUPRS, ASTOR, KCHOL. Companies standing out with steady fund inflows over the past week (independent of their price performance) were GARAN, PGSUS, AKFYE, TURSG, RYSAS, ENTRA, LIDFA, ULUFA, MPARK and INDES. From a technical perspective, as long as the index remains below 11,900, we see room for a pullback to the 10,500 / 11,000 band. Today's agenda is quiet. Turkey's 5-year CDS premium starts the day at 249 basis points.