Market Developments: Current Analysis as of December 8, 2025

New Developments in Markets: December 8, 2025 Current Analysis

Global markets continue to exhibit an optimistic trend as we approach the end of last week. U.S. indices are preparing for the new week with positive closes. Particularly the softening in the employment sector has increased expectations for interest rate cuts by the Federal Reserve (Fed).

Expectations for Fed Rate Cuts Strengthen

White House Economic Advisor Kevin Hassett reinforced this perception by stating, "The time has come for the Fed to take more cautious steps and to cut rates." The S&P 500 index completed the week with a 0.3% increase, notably driven by strong performances in energy and technology stocks. Meanwhile, utility stocks came under pressure following Exelon's bond issuance.

Netflix and Warner Bros Merger Sparks Debate

Netflix's plan to acquire Warner Bros for $72 billion has sparked discussions in the markets. The possibility of regulatory hurdles slowing down the merger has led to a decline in Netflix shares, while Warner Bros shares took a positive turn. The U.S. President indicated that he would play a role in this process.

PCE Data and Economic Outlook

The PCE data released last week illustrated a mixed picture. The headline inflation figure rose to a yearly level of 2.8%, while the core PCE decreased to 2.8%. This situation supports the likelihood of a 25 basis point cut in the meeting the Fed will hold this week. The ongoing weakness in employment reinforces these expectations.

Observations on Currency and Gold Markets

The weakness in the dollar index continues in the currency market; particularly, a relief has been observed in emerging market currencies. EUR/USD continues to push towards the resistance level of 1.1650, providing a significant outlook in the medium term. Gold prices are continuing an upward trend with increasing expectations regarding the Fed.

Borsa Istanbul's Benchmark Index Performance

Borsa Istanbul closed above the 11,000 points mark, entering a period where uncertainties are partially alleviated. On Friday, the BIST 100 index opened at the 10,924 level and rose to 11,016 points during the day, finishing at 11,007 with a 0.81% increase. The trading volume being below the weekly average attracted attention.

Preferred Stocks in Financial Markets

Among the stocks with strong technical outlooks are Gübre Fabrikaları (GUBRF) and Ral Yatırım Holding (RALYH). These stocks are trading above their 9, 21, 50, and 200-day exponential moving averages and are being closely monitored by investors.

This week's critical agenda includes the Fed's and the Central Bank of the Republic of Turkey's monetary policy decisions. These decisions are expected to be decisive in market pricing.