Inflation, which continues its upward trend on a global scale, especially in the United States, continues to have an influence on prices in the markets. The consumer price index (CPI) rose 1% month-on-month in May, showing the highest increase since December 1981 at 8.6% year-on-year, according to data released in the United States on Friday. . Contrary to expectations, inflation has continued to rise, which has reduced risk appetite in the markets, fearing that the hawkish Fed’s aggressive policies may continue longer than expected. The BIST 100 index, which followed a sales-weighted trend in line with global markets on Friday, ended the day at 2,543.10 points down 1.11%.
As of 18:00 today, dollar / TL is trading at 17.26 and euro / TL is trading at 18.04.
Analysts said the country’s balance of payments and industrial production, UK growth and industrial production data would be followed today and noted that market volatility could continue until the Fed’s decisions on Wednesday.
Stating that investors should act with caution in this process, analysts said that technically, the levels of 2,500 and 2,440 in the BIST 100 index stand out as support and 2,570 points as resistance.
The BIST 100 index of the Istanbul Stock Exchange closed the day at 2510.14 points with a decrease of 1.30%.
While the BIST 100 index decreased by 32.96 points compared to the previous closing, the total volume of transactions stood at 36.3 billion lire.
The index saw the lowest 2506 and the highest 2552 during the day.
United States of America
The possibility of a policy rate hike of 75 basis points, which Fed officials previously described as unlikely, was again included in the price. At the meeting to be held this week on money markets, it was priced that the Fed would raise interest rates by 75 basis points to control inflation with a 25% probability, while the probability of a rise in interest rates of 75 basis points increased to 53 percent at the meeting to be held in July. Although the possibility that the new type of coronavirus outbreak (Kovid-19) in China is not entirely under control has suppressed oil prices, the average price of gasoline in the US has reached an all-time high at $ 5 per gallon (about 3.8 liters).
With these developments, the S&P 500 Index fell 2.91%, the Nasdaq Index 3.52% and the Dow Jones Index 2.73% in the New York stock market on Friday. US index futures contracts started the new week with sellers.
The New York Stock Exchange opens lower
At the opening, the Dow Jones index depreciated more than 600 points and fell 2.12% to 30,726.59 points. The S&P 500 Index fell 2.46% to 3,805.04 points and the Nasdaq Index fell 2.99% to 11,001.22 points.
Will the Fed raise interest rates by 75 basis points?
While the European Central Bank (ECB) did not change the benchmark rate last week in line with expectations, this week the region’s eyes turned to the Bank of England’s (BoE) monetary policy decisions. While it is considered certain that the BoE will raise interest rates by 25 basis points at Thursday’s meeting, the possibility of a higher rate hike by the bank is also discounted. While ECB and BoE officials have said macroeconomic data will play a major role over the course of monetary policy in their verbal guidance, this week’s busy data calendar in the region draws attention.
Although these developments exacerbated the selling pressure in regional equity markets, the DAX 30 index was 3.08% in Germany on Friday, the FTSE 100 index was 2.12% in the UK, the CAC 40 index was by 2.69% in France and the FTSE MIB 30 in Italy. The index lost 5.17 percent. Index futures contracts in Europe also started the new week with a decline.
European equity markets open lower
After the opening, the Stoxx Europe 600 index fell by 1.3% to 417 points, while the DAX 30 index in Germany fell by 1.3% to 13,588 points. In France, the CAC 40 index decreased by 1.3 percent to 6,105 points, in Italy the MIB 30 index decreased by 2.1 percent to 22,081 points and in Spain the IBEX 35 index decreased by ‘1.6 percent to 8,257 points.
The UK economy shrank by 0.3%
As Asian equity markets followed the seller’s price on Friday in the new week, parallel to global markets, the flow of news that will negatively affect the already low risk appetite continues. While some measures are being re-implemented after the rise in Kovid-19 cases in China, the growing tension between China and the United States over Taiwan increases the risks in the markets. Ahead of the Bank of Japan (BoJ) monetary policy decisions on Friday, the dollar / yen parity rose to 135.16, its highest level since January 2002, on fears that the Fed will continue its aggressive policies.
With these developments, Japan’s Nikkei 225 Index is 2.94%, China’s Shanghai Composite Index is 1.2%, Hong Kong’s Hang Seng Index is 3.24%, and l ‘Kospi index in South Korea is 3.3%.
Asian stocks fell sharply
In China, the Shanghai composite index fell by 0.9% to 3,256 points. In South Korea, the Kospi index fell 3.5% to 2,505 points, the lowest level recorded since November 2020. While the Nikkei 225 index in Japan ended the day at 26,987 points with a drop of 3 per percent, India’s Sensex Index was at 52,765 points down 2.8 percent and Hong Kong’s Hang Seng Index was 21,063 points down 3.4 percent.
In the free market in Istanbul the dollar is 17.2560 lire, the euro is 18.0940 lire started next week.
Friday, The selling price of the dollar was 17.1274 lire and the selling price of the euro was 18.0382 lire.
USD / TL, After starting the new week with a high, it is trading at 17.2220 with a 0.60 percent rise at 11:30. at the same time euro / TL with a 0.29 percent increase from 18,0891, pounds / TL It sells at 211160, earning 0.1 percent in value.
dollar index, While testing the nearly one-month top with 104.6 leading its rise to the fourth trading day, analysts reported that today’s data agenda is calm, technically 104.1 will be seen as support and 105 as resistance for the dollar index.
euro / dollar The parity finds buyers at 1.0478, 0.37 percent below the previous closing level.
Noon: In the free market in Istanbul, the dollar is sold at 17.2550 lire and the euro at 18.0520 lire.
As of 1pm in international markets, the euro / dollar parity is 1.0460, the pound / dollar parity is 1.2200 and the dollar / yen parity is 134.5.
End of the day: $ 17.2562 in the free market in Istanbul from Lire, € 18.0360 It is sold for lire.
As of 18.00 in international markets, the euro / dollar parity is 1.0419, the pound / dollar parity is 1.2127 and the dollar / yen parity is 133.82.
The dollar goes up in the new week
As selling pressure has increased in post-inflationary markets in the United States, which peaked at 41 years, the cryptocurrency plunge has accelerated. bitcoin, today As of 18:00, it is trading at $ 22750 with a decrease of 14.32%. Ethereum 1189, down 17.58 percent, BNB It is trading at $ 217, down 14.68%.
What’s Happening in Inflation-Affected Cryptocurrencies
RAW MATERIALS MARKET
barrel of Brent oil It is trading at $ 119.73 in international markets.
The price per barrel of Brent crude, which rose to $ 124.33 on Friday, completed the day at $ 122.01. Brent oil price per barrel from 09:31 today Compared to the close, it was $ 119.73, down 1.87%. At the same time, West Texas Intermediate (WTI) crude oil found buyers at $ 118.36 a barrel.
Brent in oil technically It is stated that the $ 120.65 to $ 121.65 range can be seen as resistance and the $ 119.65 to $ 118.65 range as support.
Noon: The price per barrel of London Brent crude is trading at $ 118.4 with a drop of 1.6 percent.
End of the day: The price per barrel of London Brent crude is trading at $ 119, down 2.12 percent.
US inflation and Chinese influence on oil
Friday, The price per gram of gold, which followed a fluctuating trend parallel to the trend in the price of the ounce of gold and the exchange rate of the dollar, closed the day at 1,030.2 lire with an increase of 1 percent compared to at the previous closing.
gold price per gram, after the horizontal start of the new week from 11:20 It traded at 1,030 lire, just below yesterday’s close. at the same time quarter of gold 1,693 lire, gold republic It is also sold for 6,873 lire.
ounce price of gold, It is currently trading at $ 1,857, 0.7 percent lower than the previous close. analysts, technically He noted that $ 1,830 per ounce of gold is in support position and $ 1,890 is in resistance position.
Noon: While the price per gram of gold is traded at 1029 lire, a quarter of gold is sold for 1682 lire and the gold of the Republic is sold for 6709 lire.
One ounce of gold is trading at $ 1,855, down 0.9% on international markets.
End of the day: While the gold price per gram is sold for 1013 lire, a quarter of gold is sold for 1657 lire and republican gold is sold for 6608 lire.
One ounce of gold is trading at $ 1825, down 2.46% on international markets.
negative course below
The index contract, which followed a sell rate parallel to rising risk perception in global markets on Friday, closed the regular session at 2,842.50 points down 2.6%. In the evening session, the index contract partially offset the losses and rose to 2,858.50 points.
On the Istanbul Stock Exchange Futures and Options Market (VIOP) The BIST 30 index-based contract for June delivery stabilized at 2,815 points after starting the week down.
The June futures contract is trading at 2,815, 1% lower than the close of the previous session, after hitting a low of 2,806.25 points at the opening. Analysts noted that technically, the 2,800 and 2,750 levels are in the support position and 2,900 points are in the resistance position in the index contract.
The index contract in VIOP started the week with a decline
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