BIST 100 index outperformed global indices in the first quarter of the year

In the first quarter of the year, despite the prevailing uncertainty regarding when major central banks worldwide would begin interest rate cuts, global indices hit new highs as expectations intensified that these banks would start lowering policy rates for the remainder of the year.

In global equity markets, risk appetite increased following better-than-expected fourth-quarter financial results from technology companies, particularly those operating in the semiconductor chip and artificial intelligence sectors, while dovish forward guidance from US Federal Reserve (Fed) Chair Jerome Powell in the first quarter was also one of the factors supporting this trend.

The rally that began on the New York Stock Exchange in the first quarter of the year, led by technology companies, spread to European and Japanese equity markets, and indices reached new historical highs.

Since the beginning of the year, the Nasdaq index on the New York Stock Exchange in the US gained 9.11 percent, the S&P 500 index 10.16 percent, and the Dow Jones 5.62 percent, while on the European side, the DAX 40 index in Germany rose 10.39 percent, the CAC 40 index in France 8.78 percent, the MIB 30 index in Italy 14.49 percent, and the FTSE 100 index in the UK recorded a 2.84 percent increase.

During this period, in Asia, the Nikkei 225 index in Japan rose 20.63 percent, the Sensex index in India 1.95 percent, the Shanghai composite index in China 2.23 percent, and the Kospi index in South Korea 3.44 percent, while the Hang Seng index in Hong Kong lost 2.97 percent.

In the same period, the BIST 100 index rose 22.39 percent, outperforming major world indices, while it recorded an 11.39 percent increase on a dollar basis.

While all sector indices have risen since the beginning of the year, the top gainer was informatics with 67.54 percent. Looking at the main indices, the technology index drew attention with a 45.31 percent increase.

During this process, 89 of the stocks included in the BIST 100 index rose, while 11 lost value. The most traded stocks were Turkish Airlines, Ereğli Demir Çelik, Tüpraş, Türkiye İş Bankası (C), and Yapı ve Kredi Bankası.

Among the stocks that recorded the highest gains in the first quarter of the year, Mia Teknoloji ranked first with 89.34 percent, followed by Vestel with 80.47 percent, and Bera Holding with 71.78 percent. Qua Granite fell 29.62 percent, Hektaş 16.17 percent, and Kayseri Şeker Fabrikası 11.83 percent, becoming the stocks that disappointed their investors.

BANKING INDEX RECORDED A 9.21 PERCENT INCREASE IN MARCH

Domestically, it was observed that the uncertainty that increased in March with the approach of local elections dampened risk appetite and diverged negatively from global equity markets, while the banking index gained 9.21 percent.

The BIST 100 index followed a volatile course during the period in question and finished the month with a 0.56 percent decrease at 9,142.40 points. When examined on a dollar basis in the same period, the index lost 4.08 percent to reach 282.34 points.

During this period, while the performance of European stock markets stood out among global equity markets, the MIB 30 index in Italy ranked first with a 6.67 percent increase. It was followed in the region by the DAX 40 index in Germany with 4.61 percent, the FTSE 100 index in the UK with 4.23 percent, and the CAC 40 index in France with a 3.51 percent gain.

On the US side, the Nasdaq index on the New York Stock Exchange recorded a 1.79 percent increase, the S&P 500 index 3.10 percent, and the Dow Jones index 2.08 percent, while in Asia, the Kospi index in South Korea rose 3.95 percent, the Nikkei 225 index in Japan 3.07 percent, the Shanghai composite index in China 0.86 percent, the Sensex index in India 1.59 percent, and the Hang Seng index in Hong Kong 0.18 percent.

At Borsa Istanbul, in the third month of the year, banking was the top-gaining sector with a 9.21 percent increase, while the holding index recorded a 0.19 percent rise. Among the sector indices, the biggest loser was sports with 18.22 percent.

In March, 35 of the stocks included in the BIST 100 index rose, while 65 lost value. The most traded stocks during this period were Turkish Airlines, Ereğli Demir Çelik, Yapı ve Kredi Bankası, Tüpraş, and Türkiye İş Bankası (C).

In the same period, among the stocks that recorded the highest gains, Akbank gained 20.65 percent, Konya Çimento 19.91 percent, and Doğuş Otomotiv 19.89 percent, bringing joy to their investors. Among the stocks that declined the most were Kocaer Çelik with 24.71 percent, Astor Enerji with 20.83 percent, and Kaleseramik with 18.19 percent.

5-YEAR CDS FINISHED MARCH JUST ABOVE 300 BASIS POINTS

While Turkey's 5-year credit default swap (CDS) was seen to follow a volatile course in March, it made its monthly close at 310 basis points, just above the previous month.

On the other hand, according to the Risk Appetite Index (REKS) data created by the Central Securities Depository (MKK) to measure risk appetite, as of March 29, the risk appetite of foreign investors was at 63.5, the risk appetite of domestic investors was at 61.9, and the risk appetite of all investors was 55.4.

The fact that REKS is above the 50 level indicates that risk appetite is high, while levels below this are interpreted as risk appetite being low.