Borsa Istanbul: BIST 100 index falls to 10,021.80 points amid global market caution ahead of U.S. employment data.
Borsa Istanbul’s BIST 100 index wrapped up the day with a notable decline, closing at 10,021.80 points after a 0.87% drop. This represents a decrease of 88.38 points from the previous close, with a total trading volume of ₺78.4 billion.
Market Performance Overview
- Banking Index: Experienced a 0.97% decline, contributing significantly to the overall market’s downward trend.
- Holding Index: Slightly bucked the trend with a modest gain of 0.05%, showing resilience amidst broader market weakness.
- Top Gaining Sector: The insurance sector led the gains with a 1.57% increase.
- Top Losing Sector: The mining sector faced the biggest drop, falling by 2.14%.
Global Market Influence
The decline in the BIST 100 index mirrors the cautious sentiment observed in global markets, particularly as investors await key employment data from the United States. The anticipation surrounding the U.S. Federal Reserve’s (Fed) upcoming monetary policy decisions is creating an environment of uncertainty. While there’s speculation that the Fed may start to ease its tight monetary stance this month, the scale and timing of these actions remain unclear.
Key U.S. Data Released
Today’s economic indicators from the U.S. provided further context to market movements:
- Manufacturing PMI: The August Purchasing Managers’ Index (PMI) stood at 47.9, below expectations.
- ISM PMI: The Institute for Supply Management’s (ISM) PMI also underperformed, coming in at 47.2.
- Construction Spending: Contrary to expectations of growth, construction spending in July decreased by 0.3%.
Analysts warn that these weaker-than-expected data points could reignite concerns about the strength of the U.S. economy, potentially leading to increased market volatility.
This Week’s Trade Agenda
For tomorrow, several important reports and data releases are on the agenda:
- Domestic Focus: The Price Developments Report and the Real Effective Exchange Rate in Turkey.
- International Focus:
- Eurozone: Producer Price Index (PPI) figures.
- China and Europe: Service sector PMI data.
- United States: Factory orders and durable goods orders.
BIST 100 Index Technical Analysis
From a technical perspective, analysts have identified key levels to watch in the BIST 100 index:
- Support Levels: 10,000 and 9,900 points are seen as crucial support levels, where the index may find a base.
- Resistance Levels: On the upside, 10,200 and 10,300 points are noted as resistance levels, which could cap any potential rallies.
Source: AA / Prepared by Irem Yildiz