The Borsa Istanbul 100 index closed at 3,450 on Wednesday, falling sharply from the fresh record of 3,715 hit on Monday after profit taking in banking shares drove lenders to plunge over 9% on average, the most in 18 months. Banks traded in Istanbul have seen sustained growth since Q3 of 2021 as investors mounted on the sector to hedge against soaring inflation and a plunging lira. The central bank unexpectedly cut its key rate by 100bps to 13% in its August meeting, adding to the 600bps reduction of the key rate since September 2021. The lira plunged over 50% since the period and annual inflation in Turkey jumped past 80% in August, the highest in nearly 24 years, underpinned by largely negative real rates and costly measures to stabilize the lira amid strong pressure by President Tayyip Erdogan. The index has risen 85% since the start of the year and more than 140% since the start of the central bank’s monetary loosening path in September of 2021.
Historically, the Turkey Stock Market reached an all time high of 3715.28 in September of 2022. Turkey Stock Market - data, forecasts, historical chart - was last updated on September of 2022.
The Turkey Stock Market is expected to trade at 3210.49 points by the end of this quarter, according to Trading Economics global macro models and analysts expectations. Looking forward, we estimate it to trade at 2757.93 in 12 months time.