Borsa Istanbul Closes Week with Gains, Gold Bleeds Value

The shift in investment instruments continues as the recovery trend in Borsa Istanbul captures attention, while the pullback in the gold market and the flat movement in exchange rates reshape portfolio balances. The strong performance of the BIST 100 index brought equity funds to the forefront, while gold, perceived as a safe haven, led the losing side.

Borsa Istanbul Rally and BIST 100 Recovery

The highest return on a weekly basis was provided by stocks traded on Borsa Istanbul. Despite the volatility seen in the index, the closing was positive.

■The BIST 100 index ended the week at 13,981.05 points, an increase of %2.38 compared to the previous week.

■Throughout the week, the index saw a low of 13,941.98 and a high of 14,265.51 points.

■The equity performance was evaluated as a reflection of global risk appetite translating into the local market.

Precious Metal Losses: Gold's Luster Fades

Gold prices, which were on an upward trend last week, faced a sharp correction this week. The decline in bullion and various gold types signals a cautious stance among metal investors.

■The selling price of 24-carat bullion gold in the Grand Bazaar decreased by %2.45 to 6,053 liras.

■The selling price of the Republican gold fell by %1.90 to 39,819 liras, and quarter gold fell by %1.84 to 9,993 liras.

■This decline in gold resulted from the combined effects of movements in global ounce prices and stability in the dollar exchange rate.

Risk Appetite in Fund Management and FX Equilibrium

Investment funds and pension funds displayed a positive divergence relative to the general market outlook, while the calmness in exchange rates signals a breather for investors with currency risk.

■Investment funds gained %1.19 weekly, while pension funds gained %1.25.

■The highest return by category came from Equity Funds with %2.73.

■The US dollar traded at 46.9870 liras and the Euro at 53.6950 liras, showing limited fluctuation and maintaining a flat course.

The %2.38 weekly rise in Borsa Istanbul and the leadership of equity funds with %2.73 indicates that equity-weighted strategies are gaining prominence in portfolio management. It is expected that companies with high dividend yield and strong capital structures will lead this rally, while the pullback in gold creates entry opportunities for value investors. The flat course in the exchange rate supports the margins of importer-heavy companies, positively affecting stock performance.