FX.co ★ BIST 100 Attempts to Rebound

The BIST 100 index experienced a modest recovery, reaching the 9,200 mark, following a steep decline of over 16% between March 19 and 21, when political unrest surfaced in Turkey. To curb further market instability, Turkish authorities expanded their short-selling ban to encompass all stocks. This was coupled with an urgent measure by the central bank, which hiked its key overnight lending rate by 200 basis points to 46%. The bank is also in active discussions with major lenders to bring about financial stabilization. The market downturn was instigated by the arrest and subsequent conviction of Istanbul's mayor, Ekrem Imamoglu, on charges of corruption. As one of Turkey's most prominent political figures and President Erdogan's leading adversary, Imamoglu's arrest, alongside the annulment of his university degree, is anticipated to bar him from contesting against Erdogan in the impending elections. Imamoglu was the anticipated candidate for the Republican People’s Party (CHP) in the presidential race, symbolizing the primary opposition.