Morning Note /
Turkey

Turkey: Volume set to be weak

  • Although trading will resume on Wednesday and Thursday, there is another national holiday on July 15, Friday

  • Volume is expected to be weak starting from today till July 18

  • Today we expect a sluggish opening in BIST

ATA Invest
8 July 2022
Published byATA Invest

A short trading day due to a religious holiday in Turkey. There will only be half day trading in BIST today and the markets will be closed on Monday and Tuesday. Although the trading will resume on Wednesday and Thursday, there is another national holiday on July, 15 Friday. The volume is expected to be weak starting from today till July, 18 when holidays will be over. The volatility is still high but BIST-100 was able to stay over 2,400 support level yesterday. Today globally eyes will be on US NFP data when Turkish markets will be closed. Today we expect a sluggish opening in BIST. Initial target for the index is 2,480 and unless broken up, the weakness may continue. Aviation passenger numbers are out and positive for THYAO PGSUS and TAVHL.

Company news:

* MPARK TI> bought back 33K shares at an average price of TL33.49 on 07 July 2022. Since 25 May 2022, the total number of shares bought back reached 1.5mn at an average price of TL34.31.

* Total passenger in Turkey’s airports were up by 68% y/y in June 2022 <Slightly Positive for THYAO, PGSUS and TAVHL> Domesic pax in Turkey increased by 14.2% y/y in June 2022 to 7.44mn which was at 82.7% of its 2019 level. International pax in Turkey also increased by 148.4% y/y in June 2022 to 10.7mn which was at 93.3% of its 2019 level. Istanbul airport’s, main hub of Turkish Airlines, total pax increased by 115% y/y in June 2022. Considering 115% y/y increased in passenger vs. 80% y/y increase in ATM per day in the same period, THYAO’s load factor is likely to increase y/y in June 2022. Total PAX in İstanbul airport was 6.0mn in June 2022 which was at 103% of its 2019 level. Total pax in Sabiha Gokcen, main hub of Pegasus, increased by 20% y/y in June 2022. Domestic pax decreased by 13.2% y/y in June 2022 to 1.36mn which was at 72.6% of its 2019 level. International pax also increased by 102% y/y to 1.27mn in June 2022 which was at 107% of its 2019 level. Considering 20% y/y more passenger vs. 7% y/y more ATM per day in the same period, PGSUS’ load factor is likely to increase y/y in June 2022

Weekly Agenda:

July 8: May CAD

July 8 : July survey of expectations