Global Markets Shaped by Dense Data Agenda and Diplomatic Contacts
While UN General Assembly contacts and leader meetings supported global risk appetite, strengthening economic activity and inflation concerns in the US reinforced expectations that the Fed will continue its hawkish steps.
In global markets, contacts within the scope of the 81st UN General Assembly and the meeting between the leaders of China and the US supported risk appetite, while strengthening economic activity and inflation concerns in the US reinforced expectations that the Fed will continue its hawkish steps.
Global Diplomacy and Leader Meetings
The expectation that diplomatic contacts conducted at the leader level within the scope of the 81st UN General Assembly held in New York could reduce geopolitical risks fueled risk appetite in equity markets.
Chinese President Xi Jinping's visit to the US and his meeting with US President Donald Trump reduced stress in the markets, while the trade truce between the two countries was extended.
Inflation and Bond Yields in the US Economy
Data pointing to the continued heating of economic activity in the US reinforced concerns that inflationary pressures might intensify and the Fed could maintain its hawkish steps.
In money market pricing, the probability of the bank raising its policy rate by 25 basis points next month rose to 70 percent, while bond yields saw historical levels.
European Markets and Energy Developments
Despite risks regarding energy supply in Europe, optimism towards technology stocks supported risk appetite in regional markets.
While the Eurozone composite PMI reached its highest level in the last 41 months at 53.1 in September, attacks on refineries and approvals for the Ukraine Fund were monitored.
Mixed Trend in Asian Markets
During a week where trading volume decreased due to holidays in Asia, Chinese President Xi's US visit and his meetings with Trump determined the direction of regional markets.
While increases were seen in South Korean and Japanese indices, declines were recorded in some indices in Hong Kong and China.
Domestic Markets and Statements
Following a selling-weighted course domestically, Borsa İstanbul's BIST 100 index closed the week down 2.90 percent at 12,899.35 points.
President Recep Tayyip Erdoğan stated that investigations regarding fund investigations are ongoing, while CBRT Governor Fatih Karahan made a presentation in New York.