Turkey Wake-up call: Macro, Political and Equity News, 13th June

BIST lost 1.11% on Friday as earlier slight gains in the index were reversed in the afternoon in sync with global peers following the U.S. inflation data, carrying its weekly losses to 2.24%. Banks managed to hold up well with the 1.90% daily gain in their sector index amid strength in ISCTR and YKBNK in particular. ENKAI, TOASO, MAVI, CCOLA, KORDS, BRISA, and AGHOL stood out among the few non-bank gainers while TUPRS, THYAO, SISE, EKGYO, KCHOL, SAHOL, PETKM, EREGL, KRDMD, and Koza Group names topped the decliners. Today, our local macro agenda involves April'22 Balance of Payments data due at 10AM local time. Bloomberg survey puts the monthly CA deficit at USD3.20bn vs the USD1.52bn deficit recorded for the same month of 2021. Separately, April'22 Industrial Production numbers are also due 10AM. Bloomberg consensus +6.4% yoy based on the estimates for calendar-adjusted series. Lastly, Treasury will reissue 8-month discount bills in its single domestic borrowing action today. Will hold two more auctions tomorrow ahead of this week's TL15.61bn in cumulative local redemptions. BIST is off to a negative start given the sour sentiment in global markets this morning. S&P futures are down 1.6% in early trades and Asian bourses are trading deep in negative territory.