Archive · 22 Aug 2025
Turkish Stocks Soar to Record High on Rate Cut Hopes
Turkish stocks are doing really well, hitting their highest level ever!
This is because people think the government will lower interest rates, which usually makes stocks more attractive.
The stock market has gone up a lot since May.
Investors feel good because prices aren't going up as fast anymore, which means the government's plan to fix things is working.
The central bank already lowered interest rates last month.
Even though the stock market is up, people who buy stocks in Turkey have still lost money this year because the cost of things is going up faster than the stock market is.
Turkish stocks reached an all-time high, surpassing the previous record from 13 months ago.
The Borsa Istanbul 100 Index rose 1.6% on Thursday, driven by expectations of interest rate cuts.
The index has increased 25% since May due to a positive outlook on monetary easing.
Investor confidence is rising as inflation declines, suggesting more rate cuts are likely.
Despite the rally, local investors have lost money this year due to inflation exceeding 33%.
- Who
- Investors
- What
- Turkish stocks reached an all-time high.
- When
- Thursday
- Where
- Borsa Istanbul
- Why
- Expectations of lower interest rates and declining inflation.
Investor Sentiment
Inflation Concerns
Market Performance vs. Inflation
Investor Sentiment
Positive sentiment on the disinflation process and anticipation of further interest rate cuts.
Inflation Concerns
Local investors have lost money due to inflation rising more than the stock market.
- Index
- Borsa Istanbul 100
- Percentage Increase (Thursday)
- 1.6%
- Increase Since May
- 25%
- One-Week Repo Rate (Last Month)
- 46%
- Inflation (July)
- 33% from a year earlier