Profit Realization in Global Markets: September Assessment

Risk Appetite Under Pressure in Global Markets

In global markets, cautious statements from Fed officials and strong US data are weakening investors' risk appetite. Particularly, employment data to be announced next week will play a decisive role in pricing.

Critical Developments in Borsa İstanbul

September inflation holds great importance for Borsa İstanbul. If inflation turns out to be higher than expected, this situation could negatively affect expectations for interest rate cuts by the Central Bank of the Republic of Turkey (CBRT).

What Happened Last Week?

• Fed Chairman Jerome Powell stated that stock prices are “extraordinarily high.” (Negative)
• In the US, core personal consumption expenditures annually came in at 2.9%, in line with estimates. (Neutral)
• US President and President Erdoğan discussed F-35, F-16 agreements, and CAATSA sanctions. (Positive)
• Turkey and the US signed a Nuclear Cooperation agreement. (Positive)
• Bitcoin lost 5.6% in the cryptocurrency market. Ethereum lost $4,000. (Negative)

Exporting Companies Show Strong Performance

Improved relations with China and the US, Turkey's strategic location, and companies with high export potential continue to positively impact their performance. Despite a high interest rate environment, rediscount credits and the increase in the euro/dollar parity support exporters. Turkey's proximity to Syria and Iraq, exports to devastated regions, and its mediation role in the Russia-Ukraine crisis enhance our strategic advantages.

Prominent Companies for Investors

Investors aim to hold companies that consistently increase exports and have reasonable valuations in their portfolios:

• Nvidia announced plans to invest up to $100 billion in artificial intelligence startup OpenAI.
• Alibaba announced it would invest more in artificial intelligence.
• Pfizer signed an agreement to acquire Metsera for $4.9 billion.
• Aselsan became the first BIST 100 company to reach a market value of 1 trillion TL.
• Sasa Polyester completed its new investment and expects significant financial contributions in the future.

Market Movements

A total of $902 million exited from spot Bitcoin ETFs, and $795 million from Ethereum ETFs. Morgan Stanley will offer its clients the ability to trade Bitcoin, Ethereum, and Solana. Overall, cryptocurrencies have experienced value loss, especially in recent weeks, with a noticeable decrease in investors' risk appetite.

Insider Information and Analyst Recommendations

Last week, insider buying and selling by top executives of some companies drew attention. In addition, analyst recommendations, such as Wells Fargo raising Amazon's (AMZN) target price, provide important signals for investors.