TFG Istanbul Morning Report (TFG Istanbul Menkul Değerler )

• The BIST managed to maintain its recent uptrend trading, despite the continuing losses at the Banks and BIMAS, rising by 1.57% to 4662, but low turnover of TRY 63.1bn.
• The Banks fell by a little over 1%, whereas the Energy and Industrial stocks were the biggest gainers.
• ODAS, TOASO and KOZAA led the charge among the BIST30 stocks, whereas BIMAS, GARAN and ALARK were the most sold blue chips.
• Today, we expect a slightly positive opening at the BIST, and please be aware that the markets will be closed tomorrow, Friday May 19th for National Holiday.
• As of yesterday’s close, the TRY is trading a tad weaker against the USD at 19.77, but flat against the Euro at 21.42, whereas the DXY has risen to 102.95, as of print. On the Bonds’ side, the 2yr rates rose by 21 bps to 8.13%, whereas the 10yr yields fell by 174bps to close at 9.85% as compulsory bond holding requirement of the CBRT is for the bonds with over 5 years of duration.
• On the commodity front, Brent has fallen overnight to USD 76.56, and both ounce and gram GOLD have fallen slightly to USD 1279 and TRY 1979, respectively. Easing of recession worries for the US as debt ceiling issues are set to be resolved; boosted oil prices, pushed up US interest rates and strengthened the DXY, which are all downbeat for Turkey’s macro balances as costs of Turkish industrials are predominantly US$ denominated while the exports are generally to the EU.
• The Eurozone April inflation figures accelerated to 7% from 6.9% m/m, thus way above the 2% goal, due to the increase in services and energy costs, despite a slowdown in food prices. Sticky inflation is likely to push the ECB to go for two more 25bp hikes while the FED will be on hold. Higher rates on Euro may lift up EURUSD to 1.15 levels for this year in our view.
• Head of JPM Asset Management stated that the Fed may reduce interest rates in the 3rd quarter.
• President Erdogan announced yesterday that the Black Sea wheat corridor had been extended a further 2 months to July 18th, 2023, which was welcomed by the UN and US.
NEWS FLOW:
• ASELS: Disclosed that it has signed 2 further agreements with the Defence Industry Agency, worth TRY 500mn and USD 27mn.
• CVKMD: Disclosed that it has signed a USD 1.1mn agreement overseas.
• ORGE: Disclosed obtaining 2 electrical works in the Istanbul metro station worth €2.1mn and TRY 18.8mn.
• SASA: Disclosed that the CMB has approved its 127.7% capital increase via bonus issue to TRY 2.9bn.
• SUWEN: Disclosed that within the framework of the company's growth plans in foreign markets, exclusive dealership agreements have been signed to operate in Kuwait and Bahrain. According to the contract, it is planned to open 5 stores in 5 years in Kuwait and 3 stores in 5 years in Bahrain between 2023 and 2027.
• SMRTG: Disclosed that it has signed a TRY 35.6mn agreement with a local client to build solar energy panels.
• TRCAS: Disclosed that its 30% subsidiary, RWE and Turcas Guney Elektrik will distribute TRY 225mn dividends.
AGENDA:
• On the local front, Net Weekly Change in Foreign STOCK/BOND investments, and Financial Sustainability Report will be disclosed, whereas the US will be releasing the Weekly Jobless Claims, Existing Home Sales, and the Philadelphia Fed Production Index.

 TFG Istanbul Menkul Değerler A.Ş.
  www.tfgistanbul.com/arastirma-raporlar
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                  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.