Notable Developments at the Market Opening in 2025

What You Need to Know Before the Market Opens

As we approach 2025, a volatile period is being experienced in the markets. When examining the U.S. stock markets, it is important to note that the S&P 500 index has reached record levels at 6,930 points but has seen limited losses due to profit-taking. Dow Jones and Nasdaq have recorded declines of around 0.4-0.5%. However, year-to-date, the Dow Jones has a return of 14%, and Nasdaq has over 20% return.

Investor's Favorite: Fed Meeting Minutes

The minutes from the Fed's December meeting are the main agenda item for the markets. The Fed has implemented a total of 75 basis points of interest rate cuts in the last three meetings, bringing the policy rate down to a range of 3.50-3.75%. However, it is noteworthy that disagreements among officials continue during this process. President Donald Trump has threatened to sue Jerome Powell for “serious negligence,” adding to the uncertainties in the markets.

Company News and Developments in Commodity Markets

The $5 billion stock sale agreement between Intel and Nvidia is noteworthy, as is Boeing’s high-value defense contract obtained from Israel, which has attracted investor interest. In the commodity market, profit-taking has followed record levels in precious metals, leading to sharp pullbacks in silver and platinum prices. However, in long-term evaluations, geopolitical risks, central bank purchases, and the weakening dollar are suggested to have not disrupted the main trend of precious metals.

Global Market Insights

Oil prices are experiencing fluctuations due to the Russia-Ukraine tensions and risks in the Middle East. How geopolitical strategies evolve continues to affect the direction of the markets.

On the Borsa Istanbul front, a cautious outlook prevails. The BIST 100 index has declined to 11,150, closing the day with over 1% loss. Banking stocks remained more resilient during the day, while there was a noticeable selling pressure on industrial stocks.

Finally, on the currency front, the upward movement in the dollar continues. The USD/TRY is trying to settle above the 42.90 level. Despite rising costs, the TL's ability to diverge from weaker currencies is considered a notable development in the markets.