Borsa Istanbul closes the day with a decline

The BIST 100 index at Borsa Istanbul completed the day with a 0.10 percent loss, finishing at 8,024.37 points.

The BIST 100 index decreased by 7.79 points compared to the previous close, with a total trading volume of 75.5 billion liras.

The banking index gained 0.42 percent, while the holding index rose by 0.19 percent.

Among sector indices, the sports sector was the top gainer with 2.45 percent, while the metal goods and machinery sector saw the largest decline at 1.15 percent.

Analysts noted that global equity markets followed a negative trend due to mixed signals from data out of China and weakening expectations that the US Federal Reserve (Fed) would begin interest rate cuts in March.

According to data released today, retail sales in the US increased by 0.6 percent in December of last year, exceeding expectations.

Analysts stated that the retail sales data indicates that consumer demand remains strong, suggesting that the Fed still has work to do in its fight against inflation.

"INTEREST RATES COULD BE CUT IN THE SUMMER MONTHS"

Meanwhile, European Central Bank (ECB) President Christine Lagarde stated in her remarks today that excessive market optimism is complicating the ECB's fight against inflation. Noting that they are on the path toward the 2 percent inflation target but cannot yet claim victory, Lagarde emphasized that the ECB has reached its peak in interest rates.

Lagarde indicated that they could cut interest rates this summer.

In the UK, the Consumer Price Index (CPI) for December rose by 0.4 percent monthly and 4 percent annually, exceeding expectations. Analysts stated that the higher-than-expected data in the UK, especially when considering core and services inflation, shows that the fight against inflation is not yet over.

Following Lagarde's statements, the probability of an ECB interest rate cut in April, which was previously considered a certainty in money markets, fell to 89 percent, while markets began pricing in that the Bank of England (BoE) might start interest rate cuts in June following the inflation data. Before the inflation data, it was anticipated that the BoE could begin interest rate cuts in May, and it is now being priced in that the BoE could make a maximum of 4 interest rate cuts within the year.

Stating that the Fed's Beige Book report will be monitored this evening, analysts noted that weekly money and bank statistics will be followed domestically tomorrow, while ECB President Lagarde's statements, ECB meeting minutes, US housing starts and building permits, and weekly jobless claims will be monitored abroad.

Analysts reported that, from a technical perspective, the 7,910 and 7,850 levels serve as support for the BIST 100 index, while 8,060 points act as resistance.

The BIST 30 index closed at 8,673.94 points, down 18.47 points and 0.21 percent compared to the previous close.

Of the stocks included in the BIST 100 index, 46 gained value and 52 declined. Turkish Airlines, Türkiye İş Bankası (C), Akbank, Yapı ve Kredi Bankası, and Ereğli Demir Çelik were the most actively traded stocks.

LATEST STATUS IN GOLD

As of 18:25, the ounce price of gold is trading at 2,011 dollars in international markets. In the Borsa Istanbul Precious Metals and Diamond Market, the price of a kilogram of standard gold decreased by 2.6 percent to 2 million liras.

In the Borsa Istanbul Debt Securities Market's outright purchase and sale market, the simple yield of the bond maturing on October 1, 2025, was 38.28 percent, and the compound yield was 41.95 percent in today's value-dated transactions.

The Central Bank of the Republic of Türkiye (TCMB) announced the effective exchange rate for the dollar today as 30.0510 liras for buying and 30.1715 liras for selling. The TCMB had previously set the effective exchange rate at 30.0259 liras for buying and 30.1463 liras for selling.

In international markets, as of 18:25, the euro/dollar parity is at 1.0860, the sterling/dollar parity is at 1.2660, and the dollar/yen parity is at 148.30.

The barrel price of Brent crude oil in London is trading at 76.8 dollars, a decrease of 0.9 percent.

News Source: AA