Cold Shower for Stock Market Investors! “Coming in 2 Weeks! Start Preparing”

Another important warning about Borsa Istanbul, which closed at a historical level by seeing 9 thousand 915 points during the day, came from economist Atilla Yeşilada.

Yeşilada stated that the rises are just a trailer and announced that the real rally will start with the arrival of foreign investors in a few weeks. Warning that Borsa Istanbul has become expensive due to the inflation environment in Turkey, Yeşilada reminded that he expects a 50 percent dollar-based increase in the BIST100 index within a year, and stated that the stock market will overtake all investment instruments and made the following warnings.

Here are the highlights of Yeşilada’s warnings to stock market investors:

“High interest rates and turmoil in foreign markets are also putting a strain on Borsa Istanbul. There is hope for an increase for the summer months. I cannot say 100 percent because there is a serious earthquake happening globally rather than Turkey’s own story.

The stock market in Turkey has made a significant premium and our traditional problems, which are too many public offerings, continue. These will reduce the strength of the stock market. There are reports showing that profit momentum will decrease as the year progresses and there will be huge losses, especially in the banking sector. If the Turkish economy will slow down due to its economic model, this will have an impact on the stock market.

“BIST WILL MAKE A 50 PERCENT PREMIUM ON A DOLLAR BASIS FOR 100”

However, despite all these negative conditions, is there a possibility for Borsa Istanbul to make a premium? There is and I think it is quite high. Because strangers will come. Foreign investors made short-term entries after the elections held in May last year and then exited due to election uncertainty. We know that the doubts have been largely resolved, we understand that Mehmet Şimşek will remain in office, and other steps are and will be taken regarding economic stability. Therefore, there is an attractive story for foreigners.

“THE REAL RISE IN THE STOCK EXCHANGE WILL START IN TWO WEEKS”

The fair target price of BIST100 at the end of the year is between 11-12 thousand, which means you will lose money compared to the deposit interest. However, foreigners do not look at it that way, they compare it with other markets and with US bond income. Therefore, the stock market is very attractive for foreign investors.

If there is no oil shock, surprise decisions such as the Fed’s interest rate cut or increase, and new wars, foreigners will start buying shares within a week or two, and then Borsa Istanbul’s income will change. Because when foreigners come, local investors will immediately follow them. “To be honest, if Erdoğan does not dismiss Mehmet Şimşek, which I never expected, I think that Borsa Istanbul will make a premium of around 50 percent within a year.”