Morning Note /
Global

Turkey: Lira keeps on weakening

  • Turkish equities had a good bounce back yesterday

  • CBRT will announce its policy rate at 14 local time and consensus is that it will stay on hold

  • We will test 2,430 level at opening and we will see if we can stay above that

Batuhan Ozsahin
ATA Invest
26 May 2022
Published by

Turkish equities had a good bounce back yesterday, as the fear about inflation hedged bonds that would reduce appetite for equities disappeared and the banks had a good comeback led by Halkbank. The CBRT will announce its policy rate at 14:00 local time and the consensus is that it will stay on hold. The lira keeps on weakening, hence some measure needs to be taken or we will be going towards 3-digit inflation in the autumn. We will test the 2,430 level at the opening and we will see if we can stay above that.

Company news:

*MPARK TI> announced buy-back programme (Positive) The program consists of purchasing the maximum number of shares which is nominal 20.8mn TL and the maximum amount of funds to be allocated for the share buyback as 650mn TL. We believe it will have a positive impact on share performance.

*SAHOL TI> bought back 100K shares at an average price of TL19.95 on 25 May 2022. Since 09 Nov 2021, the total number of shares bought back reached 46.2mn at an average price of TL16.12.

*ECZYT TI> will pay TL 1,524/share dividend today and the reference price will be TL 43.116

*GWIND TI> will pay TL 0,2804832/share dividend today and the reference price will be TL 6.87

Weekly Agenda:

May 26: CBT rate decision. Consensus expect no change (Previous 14%, Consensus 14%)

May 26: BRSA Weekly banking sector Data