TFG Istanbul Morning Report (TFG Istanbul Menkul Değerler )

• The BIST closed Friday on a gain of 0.43% at 4527, and turnover of TRY 81.4bn, led by the gains in the Banks and Conglomerates, whereas the meme-stocks (SASA-HEKTS, SMRTG and KONTR) once again closed limit-down.
• YKBNK, TKFEN and FROTO led the gains at the BIST30, whereas SASA, PGSUS and KOZAL were the most sold.
• For the week, the BIST100 rose by 1.60%, led by ALBRK, KARSN, and JANTS, whereas the most sold were SNGYO, GESAN, and PGSUS.
• Today, we expect a similar trading session akin to Friday, but with a negative bias due to the sell-offs in the Asian markets on the surge of Covid cases in China, coupled with the sell-offs in the meme-stocks to continue.
• The TRY is stable against the USD at 18.60, as of Friday 18:10, and the DXY has risen a tad to 107.36. The 2yr and 10yr yields fell by 51bps and 27bps to 12.39% and 11.57%, respectively. The 5yr CDS rates will open the new week from the 574 level, after falling by 13 pts on Friday.
• On the commodity front, Brent is trading lower at USD 86.69, and both ounce and gram GOLD prices have fallen to USD 1747, and TRY 1045, respectively, due to Fed Presidents echoing that the fight against inflation is far from over, thus hinting at continued aggressive rate hikes, most profoundly James Bullard’s statements on Thursday, stating the Fed's target policy needs to rise to at least a range between 5.00% and 5.25% from the current level of just below 4.00% to be "sufficiently restrictive" to curb inflation, while stricter assumptions would raise the year-end rate to 7%.
• Fitch affirmed Turkey’s long-term credit rating at “B” with a “Negative” outlook.
• At the meeting with the Authorized Automotive Dealers Association, Treasury Minister, Dr. Nebati stated that the new tax brackets for new automobiles will be made on Dec.1st, 2022.
• On Sunday, The Turkish military conducted air-raids in Northern Iraq and Northern Syria. We deem this neutral on the market.
• Dr. Nebati also met with Retail heads to discuss developments in the economy, as the head of Artisans and Crafts, once again called for the Retail Law to be amended as to protect small independent stores.
• Please note that on Friday, we issued a Buy Report on PENGD with a 12mth target price of TRY 12.55 (86% upside), and Buy Report for KLMSN with a target price of TRY 36.10 (94% upside).
NEWS FLOW:
• ENERGY: The Minister of Energy and Natural Resources stated that there would be no rate hikes on natural-gas prices. We deem this positive on GLASS and CEMENT stocks.
• TTKOM: Disclosed that it has obtained a €200mn loan, to be matured on 2027, with annual interest rate Euribor +140bps.
AGENDA:
• On the local front, The Foreign Tourist Arrival figures will kick-off the new week, and followed by the Consumer Confidence, Real Sector Confidence, Capacity Utilization, the MPC Meeting (Market Consensus 150bps rate cut to 9%), and Weekly Foreigners’ Bond/Stock Holdings will be followed. Also, Moody’s will disclose its rating decision on Friday, which stands at “B3” with a “Stable” outlook.
On the international side, the US Durable Goods Orders, Initial Jobless Claims, PMI, FOMC Minutes, U. of Michigan Expectations and New Homes Sales will be followed. Elsewhere, the Eurozone Consumer Confidence, PMI, and Trade Balance Figures will be released, and Germany will be disclosing its PPI, IPO and GDP growth rate


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