Mornıng Report (Trive Yatırım Menkul Değerler )

Falling CDS Rates Trigger Risk-On Mode

It was a risk-on mode yesterday at the office, as the BIST managed to surge 1.50% to 7781, but still on a low
turnover of TRY 75.6bn, begging the question-“When will be get back to seeing above TRY 100bn volumes
again?” as the 5yr CDS rates fell to their lowest levels in 2.5years, thus causing the Banks to rise nearly 3%, and
as we alerted our readers, the falling Brent prices, the main cost-line in the Airline stocks, also reflected
positively onto the sector, guiding it to a 3.32% gain. The falling energy prices is also the main reason for the
normalization in the inflation figures. However, the falling prices are thus reflecting negatively onto Energy
stocks, as we observed yesterday as well.
Asian stocks are trading negatively due to the slump in Alibaba stocks on the back of scrapping its $11bn cloud
project amid the US-China technology feud.
AKBNK-BIMAS and THYAO led the gains among the blue-chips, whereas GUBRF-AKSEN and SASA were the most
sold.
As of yesterday’s session closing numbers, the TRY is trading weaker against the greenback at 28.70, but stronger
against the Euro at 31.14, while the DXY has risen to 104.39, as of print. The 2yr and 10yr Bond rates are
continuing their recent retreat, falling yesterday by another 26bps and 20bps to 40.85% and 28.29%,
respectively.
On the Commodity front, Brent is trading higher compared to yesterday’s closing prices at $77.60, but the recent
drop can be attributed to the rising inventory stockpiles, which is a sad sign of weak demand, and a red flag for a
potential red flag, and ounce and gram GOLD prices are at $1984 and TRY 1828, respectively.
ECB President, Christine Lagarde stated yesterday, “European banks may suffer significant losses if they need to
sell their bond holdings to raise cash.”
At yesterday’s Foreign Affairs Committee, the Turkish parliament signalled a new delay in Sweden’s NATO bid,
asking for a written anti-terrorism road-map from Sweden before approving the Nordic country’s accession to NATO.
Today, President Erdogan will be meeting with his German counterpart-Chancellor Olaf Scholz, and all ears will be perked to developments from the meeting.
Home sales fell by 8.7% y/y to 93,761, but more importantly, homes sold on loans fell by 58% to just 5,577, its
lowest level in 5 years, and sales to foreigners fell by 53%.
Last week, Foreigners were net BUYERS of USD 7mn STOCKS, and net BUYERS of USD 131mn BONDS.

AGENDA:
The CBRT Expectations Survey will be released today on the home front, while the Eurozone will be tracking the
Inflation Figures. ECB President Christine Lagarde will also be speaking today at Frankfurt, Germany.

CORPORATE:
AGESA- Disclosed that its premiums rose by 106% in 9m23 to TRY 5.8bn
GLYHO-Disclosed that the total ships that visited its ports rose by 14% y/y.
CIMSA - CIMSA's Dutch subsidiary, Sabanci Building Solutions BV, has established the Sabanci Global Technology
Center in Munich, focusing on future technologies in building materials, notably Calcium Aluminate Cement and
other sustainable materials.
KONTR - Kontrolmatik brand is setting up a production facility in Polatlı/Ankara for High Voltage Gas Insulated
Switchgear, with an expected investment of $30 million, aiming to contribute significantly to Turkey's economy.
PENTA - Penta Technology has become the exclusive distributor for Xerox's channel partners in Turkey,
cementing its position as a key player in the digital printing sector.
POLHO-has announced that its subsidiary, Poliport Kimya, has decided to invest in the renovation and
modernization of its eighth tank farm, which has a capacity of 5,850 cubic meters.
TAVHL-Disclosed its October passenger numbers, accordingly, passenger count rose by 12% vs compared to
Oct.2019 to 9.46mn.

 
 Trive Yatırım Menkul Değerler A.Ş.
  https://www.trive.com.tr/

***
                        Yasal Uyarı
 
  Burada yer alan yatırım bilgi, yorum ve tavsiyeler yatırım danışmanlığı kapsamında değildir.Yatırım danışmanlığı hizmeti ; aracı kurumlar, portföy yönetim şirketleri, mevduat kabul etmeyen bankalar ile müşteri arasında imzalanacak yatırım danışmanlığı sözleşmesi çerçevesinde sunulmaktadır.Burada yer alan yorum ve tavsiyeler, yorum ve tavsiyede bulunanların kişisel görüşlerine dayanmaktadır.Bu görüşler mali durumunuz ile risk ve getiri tercihlerinize uygun olmayabılır.Bu nedenle, sadece burada yer alan bilgilere dayanılarak yatırım kararı verilmesi beklentilerinize uygun sonuçlar doğurmayabilir.