Global Markets Locked on Fed's Interest Rate Decision

While investors in global markets focus on the interest rate decision to be announced by the U.S. Central Bank (Fed), developments in technology stocks, geopolitical risks, and international economic data are being closely watched. While the Fed is expected to keep its policy rate unchanged, the messages to be given during the meeting regarding future interest rate policy in the face of inflationary pressures are of great importance.

The positive trend seen in technology stocks, driven by optimism regarding the artificial intelligence theme, continues to support risk appetite in global markets. News that U.S.-based technology company Nvidia will invest $3 billion in Meta increased demand for technology stocks, while investors focused on the balance sheets of Alphabet and Microsoft. News that the Houthis in Yemen launched an attack on a refinery in Saudi Arabia and the failure to reach an agreement between the U.S. and Iran pushed the barrel price of Brent crude up to $115.5. Amid rising oil prices and inflationary concerns, the yield on the U.S. 10-year Treasury bond rose above 5%, the dollar index reached the 102.4 level, and an ounce of gold traded at $4,033. Meanwhile, it was reported that the general election race in Israel is neck-and-neck. While the New York stock exchange closed higher, the BIST 100 index in Borsa İstanbul completed the day at 11,151.03 points; additionally, Vice President Cevdet Yılmaz announced that payments of up to 1 million liras under the scope of extraordinary liquidation will begin on Friday through İş Bankası and Ziraat Bankası.