Turkey’s benchmark stock index was at 2,508.91 points at yesterday’s close, down 0.05%. Borsa Istanbul’s BIST 100 index lost 1.23 points from the previous close of 2,510.14 points. The total market value of the BIST 100 was around TRY 2.15tr by market close, with a daily trading volume of TRY 33.3bn.
Turkey’s CDS (credit default swap), which shows the cost of the protection of Turkey’s 5-year maturity debt against bankruptcy, has reached its highest level of 845 points since 2003. This increasing risk premium creates pressure on the TRY and Borsa Istanbul, according to the portfolio management company Ahlatci Yatirim. Since risk appetite is low due to inflation data released last Friday in the U.S., which exceeded forecasts, the expectation of a 50-basis point interest rate hike by the Federal Reserve, and ‘hawkish’ messages by the Fed strengthen the USD index. “This situation has paved the way for USD/TRY to exceed 17.00, reaching 17.28,” the institution said. Ahlatci Yatirim also added that the low-risk appetite in global markets and indices, which fell below the critical threshold levels, creates pressure on Borsa Istanbul. It says 2,485 points, which is the basic average for 22 days, will be the support level for the BIST 100 index. “As long as the daily closes don’t see above 2,590 points, downward sales pressure may continue in the BIST 100 index,” the portfolio management company noted.
The satellite operator Turksat’s new communication satellite, Turksat 5B, has entered into service. Turksat 5B will boost Turkey’s data communication capacity 15-fold and will transmit more than 55 gigabits of data. President Recep Tayyip Erdogan stated at the satellite’s Commissioning Ceremony that the national surveillance satellite, IMECE, which was developed by Turkish engineers under the umbrella of the TUBITAK Space Technologies Research Institute (TUBITAK UZAY) and Turksat’s 6A satellite will be launched next January, and in the middle of 2023, respectively.
Gursel Baran, Chairman of the Ankara Chamber of Commerce (ATO) has demanded an upper limit for rent increases for workplaces. Baran said in a written statement that Turkey is being tested in terms of the foreign exchange rate hike, interest rate, and inflation and that all steps to prevent inflation are critical in this period.
DAILY AGENDA
House sales jumped 107.5% to 122,768 units in May, compared to the same month last year, according to the Turkish Statistical Institute (TurkStat).
The producer price index of agricultural products soared 154.97% in May, year-over-year, according to TurkStat. The index surged by 16.18% on a monthly basis.
The number of paid employees including manufacturing, construction and trade-services sectors increased by 4.0% to 13.99 million in April, compared to the same month of the previous year, according to TurkStat.
The Treasury and Finance Ministry will release the central government’s budget balance table for May (11.00 a.m.).
President Recep Tayyip Erdogan will attend AK Party’s parliamentary group meeting (12.00 p.m.).
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