The decision of OPEC+ countries to cut oil supply over the weekend has had an impact on asset prices, while the impact of rising oil prices on the fight against inflation remains in the focus of the markets.
While the share prices of energy companies increased significantly around the world, the stock prices of technology companies decreased.
Yesterday Louis Fed President James Bullard, in a statement to a private television channel, stated that the increase in oil prices has made the task of reducing inflation even more difficult for now, and that it is not yet known whether this situation will have a long-term effect.
On the other hand, the signs of slowdown in economic activity in the announced macroeconomic data continued to get stronger.
In the USA, the Supply Management Institute (ISM) manufacturing index remained below market expectations with 46.3 in March, while the contraction in the manufacturing industry continued.
While it is predicted that the US Federal Reserve (Fed) will increase interest rates by 25 basis points with a 58 percent probability at the next meeting, it is estimated that this step in the money markets will be the last interest rate increase of the Bank after the latest developments.
Commodity prices are following a calm course today. The barrel price of Brent oil increased by 0.6 percent to $85.3, while the price of an ounce of gold was traded at $1,979 with a decrease of 0.3 percent.
Yesterday, the S&P 500 index rose 0.37 percent and the Dow Jones index rose 0.98 percent in the New York stock market, while the Nasdaq index lost 0.27 percent. Index futures contracts in the USA started the new day with a decrease.
While a mixed course in European stock markets stood out yesterday, the manufacturing industry Purchasing Managers Index (PMI) data announced in the region increased the concerns about the economic activity.
While the manufacturing industry PMI continues its course below the 50 level throughout the region, pointing to a contraction, the fact that the fight against inflation has not yet come to an end and the expectation that the European Central Bank (ECB) will continue its “hawk” steps makes pricing difficult. The Bank is expected to increase interest rates by 25 basis points in May and July meetings.
With these developments, the DAX 40 index decreased by 0.31 percent in Germany yesterday, while the FTSE 100 index increased by 0.54 percent in the UK, the MIB 30 index increased by 0.24 percent in Italy and the CAC 40 index increased by 0.32 percent in France. Index futures contracts in Europe started the new day with rising.
It is seen that the selling pressure on technology shares continues in Asian stock markets.
Today, the Reserve Bank of Australia, while keeping the policy rate unchanged at 3.60 percent, stated in its policy text that “additional tightening can be made if necessary”.
While the Nikkei 225 index in Japan increased by 0.3 percent, the Shanghai composite index in China and the Kospi index in South Korea increased by 0.2 percent, the Hang Seng index in Hong Kong decreased by 1 percent.
Domestically, the BIST 100 index in Borsa Istanbul, which followed a fluctuating course yesterday, closed the day at 4,839.46 points, 0.55 percent above the previous closing.
Dollar/TL is trading at 19.2040 at the opening of the interbank market today, after closing at 19.1961 with an increase of 0.1 percent yesterday.
Analysts stated that the data agenda will be followed today, primarily the real effective exchange rate in the domestic market, the Producer Price Index (PPI) in the Eurozone abroad, factory orders in the USA and durable goods orders. He noted that the levels are in the resistance position, and 4,800 and 4,750 points are in the support position.
The data to be followed in the markets today are as follows:
09.00 Germany, February foreign trade balance
12.00 Euro Zone, PPI for February
14.30 Türkiye, March real effective exchange rate
14.30 Türkiye, foreign exchange position of companies excluding financial sector in January
17.00 US, February factory orders, durable goods orders and JOLTS job vacancies