While the effort to balance the global markets continues after the news flow that the US Federal Reserve (Fed) will increase interest rates before and faster than expected, the speeches of Fed Chairman Jerome Powell and other Fed officials today have been in the focus of investors.
While the Fed's hawkish stance and the expectation that it may raise interest rates in March continued to be priced in the stock markets, the statements of Fed Chairman Powell yesterday had a positive impact on the stock markets.
Expressing that they will use the bank's tools to support the economy and a strong labor market, as well as to prevent high inflation from becoming permanent, Powell said, "Despite the ongoing epidemic, the economy has strengthened rapidly. This has caused permanent supply and demand imbalances and bottlenecks, thus high inflation. We are determined to achieve maximum employment and price stability targets." used the phrases.
Emphasizing that the post-pandemic economy may be different in some respects and that these differences should be taken into account while pursuing goals, Powell stated that monetary policy should adopt a broad and forward-looking perspective by keeping up with the ever-developing economy.
While the indices in the New York stock market compensated for a significant part of their losses of up to 2 percent with Powell's statements, the Nasdaq index ended its 4-day downward trend.
Today, while the speeches of Kansas City Fed President Esther George and St Louis Fed President James Bullard, whose hawkish stance has come to the fore in the recent period, are at the center of the agenda, clues regarding the future of monetary policy will be sought in the statements.
Expectations that the Fed will raise interest rates for the first time in March with a 90 percent probability continue.
In the new type of coronavirus (Kovid-19) epidemic, while the Omicron variant continues to spread quite rapidly around the world, it has a limited effect on the low risk appetite.
With these developments, the US 10-year bond yield was stabilized at 1.77 percent yesterday, after rising to 1.80 percent, the highest level since January 2020.
Yesterday, the New York stock market made up most of its losses towards the end of the day, after starting the day with a hard selling course. The S&P 500 index fell 0.14 percent and the Dow Jones index fell 0.45 percent, while the Nasdaq index gained 0.05 percent. Today, index futures contracts in the USA follow a horizontal course.
Equity markets in Europe, which were closed yesterday before Powell's statements, finished the day with a decline. Today, the speech of Christine Lagarde, President of the European Central Bank (ECB), is in the focus of investors.
The FTSE 100 index lost 0.53 percent in the UK, the DAX 30 index lost 1.13 percent in Germany and the CAC 40 index lost 1.44 percent in France. European indices are positive in futures today.
While a mixed course is observed in Asian stock markets today, the rapid spread of the Kovid-19 epidemic continues to pose a risk factor.
The continuation of the record number of cases in the countries of the region and the measures taken increase the concerns over the economic recovery.
With these developments, Shanghai composite index decreased by 0.50 percent in China, Nikkei 225 index, which also priced in yesterday's decline after the holiday, decreased by 1 percent and Kospi index in South Korea decreased by 0.06 percent, while Hang Seng index decreased by 0 percent in Hong Kong. It gained .17.
While the eyes are turning to the balance of payments data in Turkey today, economists participating in the expectations survey of AA Finans expect the current account to have a deficit of 2 billion 230 million dollars in the period of November 2021.
The BIST 100 index, which gained 0.58 percent yesterday, carried its upward trend for the sixth trading day in a row and completed the day at 2,045.16 points.
Dollar/TL, on the other hand, is trading at 13.79 at the opening of the interbank market, after closing the day at 13.8329 with an increase of 0.42%.
Analysts stated that the data agenda abroad is calm today, and said that technically, 2.050 and 2.070 levels in the BIST 100 index are in the resistance position, and 2.030 and 1.990 levels are in the support position.
The data to be followed in the markets today are as follows:
10.00 Turkey, November balance of payments
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