Clear Reasons for Dollar Pressure: Stock Market and Gold Predictions Update
Borsa Istanbul Changes Direction: Dollar/TL Rate Tested Below 34
After experiencing a sharp correction for a long time, Borsa Istanbul changed direction this week as the index rose to 10,000 points. Despite this positive movement, the sustainability above this level remains uncertain, leaving stock market investors eagerly awaiting new peaks in the market.
Meanwhile, the dollar/TL rate has started to be tested below 34 as it declined to 33.80 lira levels this week, drawing attention from investors.
Gold investors are keeping a close eye on critical data, especially the US non-farm payrolls data for August, which is set to be announced at 15:30 today. The rise in gold prices continues to be a topic of interest, with questions arising about new targets for gram gold and the reasons for the downward pressure on the USD/TL exchange rate.
Economist Tuğba Ekin provided insights on these issues, warning investors of the possibility of sharp movements by the end of the year.
One of the factors that triggered the recent rise in the stock exchange was the expectation of a credit score increase, which was priced in as the stock market approached the 9,500 point level. International credit rating agency Fitch Ratings is anticipated to raise Turkey’s credit rating from “B+” to “BB-“, with a positive outlook expected to be maintained.
Furthermore, positive August inflation figures and the announcement of the New Medium Term Program with revisions at the beginning of the week contributed to the bullish sentiment in the market. However, it is important to note that sustaining above the 10,000 point level is critical, with trading volume still remaining low.
In the coming days, the reflections of the new OVP figures are expected to impact the stock market, particularly with regards to growth estimates and inflation expectations. To stay above the 10,000 point level, exceeding the 100 billion TL limit in transaction volume is essential.
In the event of possible downward movements, investors should keep the 9,200-9,250 range in mind as a support level. Gold investors are advised to be cautious, as sharp movements may occur by the end of the year.
Overall, the market is experiencing fluctuations influenced by factors such as macroeconomic indicators, policy instruments, and geopolitical risks. As investors navigate through these uncertainties, staying informed and agile will be crucial for making informed decisions in the fluctuating market environment.
