How did the stock market close? (03.21.2024)

The BIST 100 index rose by 185.58 points compared to the previous close, with a total trading volume of 139.6 billion liras. The banking index gained 4.99 percent, while the holding index rose by 1.84 percent.

Among sector indices, the communication sector was the top gainer with 6.93 percent, while the textile and leather sector saw the largest decline at 3.40 percent.

RISE ACCELERATED

Global markets followed a positive trend after the US Federal Reserve (Fed) maintained its forecast of 3 interest rate cuts by the end of the year in yesterday's meeting, despite inflation coming in stronger than expected. Domestically, the rise in the BIST 100 index accelerated following the interest rate decision by the Central Bank of the Republic of Turkey (TCMB).

CENTRAL BANK DECISION

The TCMB Monetary Policy Committee (MPC) raised the policy rate, the one-week repo auction rate, by 500 basis points to 50 percent.

The statement in the decision text, "The Committee has also decided to change the operational framework, determining the Central Bank's overnight borrowing and lending rates with a margin of -/+ 300 basis points compared to the one-week repo auction rate," also drew attention.

Analysts noted that with this decision, the Central Bank could implement additional tightening by funding the market at 300 basis points above the one-week repo auction rate if deemed necessary. Prior to the decision, overnight borrowing and lending rates were determined with a margin of -/+ 150 basis points compared to the one-week repo auction rate.

Stating that the real sector confidence index and capacity utilization rate will be monitored domestically tomorrow, and inflation in Japan and the Ifo business climate index in Germany will be followed abroad, analysts noted that technically, the 9,200 level is resistance for the BIST 100 index, while 9,000 and 8,900 points are support levels.