Discussions on High Inflation and Interest Rates Continue in BIST 100

Global Markets Uncertainty Increases

The U.S. government's decision to shut down has created uncertainty in global markets, and the effects are being felt in Borsa Istanbul as well. The inflation rate of 3.23% announced in September has caught the attention of investors. This high rate has reduced expectations for interest rate cuts by the Central Bank of the Republic of Turkey (CBRT), while the BIST 100 index tested the level of 10,850.

Important Developments from Last Week

• The U.S. Federal Government's shutdown due to budget disagreements hindered the release of economic data, creating a negative atmosphere in the markets.
• The inflation data for September in Turkey came in much higher than expected, reducing the likelihood of interest rate cuts.
• CBRT President Karahan stated that fiscal policies would be kept tight following the high inflation data.
• The uncertainty created by the government's shutdown has led investors to turn to alternative value storage assets; Bitcoin gained 12%, while Ethereum rose by 12.7%.

How Do Buyback Programs Affect Investors?

High inflation and market fluctuations have brought companies conducting buyback programs to the forefront. These companies exhibit a more resilient outlook under potential selling pressure, increasing investors' confidence. Companies that buy back their shares at high amounts provide their investors with cheap purchasing opportunities as a sign of this situation.

Digital Assets and Economic Transformations

Interest in Bitcoin and other cryptocurrencies has been increasing based on historical data. Nexo analyst Iliya Kalchev highlights the potential for a positive October. Additionally, JP Morgan's predictions that Bitcoin could reach $165,000 by the end of the year have caught investors' attention.

This Week's Economic Developments to Follow

An important week is expected for investors. On Wednesday, the Fed meeting minutes will be released, and on Thursday, Turkey's industrial production and Fed Chairman Powell's speech will be observed. On Friday, we will approach the end of the week with Turkey's retail sales data.

As a result, the BIST 100 index continues to remain in uncertainty due to the impact of high inflation data. Investors need to review their strategies against possible market fluctuations through buyback programs.