Index contract opens the day with a decline in VIOP (24.05.2024)

The Borsa Istanbul Derivatives Market (VIOP) June-dated index contract traded at 12,201.00 in the opening session, 0.2 percent below the previous normal session close.

Yesterday, the index contract followed a sell-weighted trend, completing the normal session at 12,219.25 points, 1.6 percent below its previous close. The index contract continued its decline in the evening session, falling 0.4 percent to 12,173.25 points.

Analysts stated that risk perception in global equity markets has increased as data released in the US pointed to vitality in economic activity, pushing expectations for the first interest rate cut by the US Federal Reserve (Fed) to November, and noted that a busy data agenda has become the focus of investors today.

On the other hand, while the Central Bank of the Republic of Turkey (TCMB) kept the policy rate constant at 50 percent yesterday, the announcement from the bank stated, "The underlying trend of monthly inflation recorded a limited weakening in April. Indicators for the recent period have pointed to a slowdown in domestic demand compared to the first quarter."

In the announcement released following the TCMB's interest rate decision, it was stated that reserve requirement ratios applied to TL deposits and KKM (FX-protected deposit) accounts were increased in order to maintain macro-financial stability, support the monetary transmission mechanism, and sterilize excess liquidity.

Stating that the financial services confidence index will be monitored domestically today, and durable goods orders and the University of Michigan consumer confidence index will be monitored abroad, analysts noted that from a technical perspective, 12,100 and 12,000 points are support levels for the index contract, while 12,300 and 12,400 levels are resistance positions.