The hawkish tone in the #FED meeting minutes released yesterday pulled US stocks lower, and the sell-off in US stock markets also negatively affected Asian stock markets. Unemployment benefit applications and service PMI data will be announced today, and although it may cause short-term activity, I consider the employment data to be announced tomorrow more important. With the announcement of the inflation data next Wednesday, we will be able to predict what the FED will do at the meeting. When I look at the minutes, I see an interest rate increase as a certainty if there is no significant decrease in employment and inflation.
With the decreasing probability of the FED passing on interest rates this month, the dollar strengthened and bond rates rose. The US 10-year bond yields 3.96%.
Meta, the owner of Facebook, Instagram and WhatsApp, has launched Threads, a new social media platform to rival Twitter. ‘Threads surpassed 2 million members in the first 2 hours,’ Meta CEO Zuckerberg explained.
BlackRock has described #BTC as an international asset and stated that they want to make it cheaper and easier to invest in cryptocurrency. Although I find it very positive for the long term that the interest of institutions is being translated into the cryptocurrency ecosystem in such an intense way, I think it will accelerate the regulations in the short term. Another wave of regulation by the end of the year would not be a surprise to me. #SEC
Returning to the country, according to the law presented to the parliament yesterday, corporate tax will be increased from 22% to 25% for companies and from 25% to 30% for financial institutions. The market sees this tax increase as part of a return to rational ground in the economy. In addition, with the new regulation, the tax deduction applied as 1% to profits from export revenues is increased to 5%. We have seen that this has a positive impact on the shares of the aviation, automotive, white goods sectors with high export revenues. Although the foreign markets seem to be selling, I think that the change in economic policy and the recent foreign investor will differentiate BIST from the global markets in a positive way.
