Markets Today: Inflation Data and Central Bank Decisions

Markets Today: December 19, 2025

Global market pricing continues to revolve around the decisions of central banks and inflation data. In particular, the inflation data for November released in the U.S. has laid the groundwork for a broader analysis of the economy.

U.S. Inflation Data and Its Effects

The November headline CPI was announced at 2.7% year-on-year, while the core CPI came in at 2.6%. Despite disruptions in data collection during the government's closure, the data indicates a cooling in inflation. This situation has led to a pullback in yields in global bond markets and a recovery in risk appetite.

Japan's Interest Rate Decision

The Bank of Japan raised its policy interest rate by 25 basis points to 0.75% at its final meeting of the year. This decision marks the highest level in nearly 30 years. However, the focus in the markets is now on the pace of future rate hikes and the eventual level.

European Central Bank's Growth Forecasts

The European Central Bank made limited upward revisions to its growth and inflation forecasts while keeping interest rates steady. The ECB emphasized that economic growth will stem from domestic demand while warning about global trade uncertainties.

Bank of England and Expectations

The Bank of England lowered its policy rate by 25 basis points to 3.75%. BoE Governor Bailey expressed satisfaction with the progress in inflation and indicated that gradual rate cuts would continue.

Commodity Market Situation

In the commodities market, short-term profit-taking was observed in precious metals following the inflation data. Gold was trading near historical peaks, while silver maintained its strong performance. Oil prices showed a slight downward trend due to peace expectations related to the Russia-Ukraine war.

BIST 100 Latest Situation

Domestically, the BIST 100 index completed the fourth trading day of the week with a limited bullish outlook. The index closed at 11,335 points, up 0.43%. Purchases coming from the 11,250 level during the day supported the index. Investors are expecting to start the new day with a volatile outlook alongside the positive atmosphere in global markets.

Macroeconomic Developments

To ensure financial stability, the leading indicators mentioned in the Central Bank's Monetary Policy Committee summary indicate a mild outlook for inflation in December. The pace of increase in rental prices is slowing, while the deterioration in market expectations is being closely monitored.

Highlighted Stocks

• Turkish Gold Enterprises (TRALT)
• TR Anadolu Metal Mining (TRMET)

The information provided here does not constitute investment advice.