Borsa Istanbul Weekly Rally Overshadows Gold Slump, Equity Funds Aim for Peak

Borsa Istanbul posted a significant weekly gain, reclaiming investor confidence, while traditional safe-haven gold faced a substantial sell-off, marking a distinct shift in asset allocation driven by market risk appetite.

Technical Strength and Volatility Band in BIST 100

The BIST 100 index followed a volatile trajectory throughout the week but managed to close in positive territory. The index's technical data clearly highlights the impact of tested support and resistance levels on investor psychology during this period.

■The index closed the week up 2.38% from the previous week's close at 13,981.05 points.

■The weekly low was recorded at 13,941.98, while the high peaked at 14,265.51 points.

■The momentum of the upward movement was supported by the surge in equity funds.

Safe Haven Shock: Gold and Currency Stagnation

Precious metals traded in the Grand Bazaar offered a challenging week for investors, contrasting sharply with the stock market rally. The depreciation in gold signals that capital seeking safe havens is shifting short-term towards equities, while the flat movement in exchange rates indicates limited volatility.

■The selling price of 24-karat bullion gold fell by 2.45% to 6,053 lira.

■The selling price of Republican Gold dropped by 1.90% to 39,819 lira.

■Quarter Gold, trading at 10,180 lira last weekend, declined by 1.84% to 9,993 lira.

■The US Dollar remained flat at 46.9870 lira, and the Euro at 53.6950 lira.

Equity Dominance in Fund Management

Investment and pension funds showed a general increase on a weekly basis, with the most striking performance within categories coming from equity funds. This confirms the rising interest in the stock market from both market makers and individual investors.

■Investment funds gained 1.19%, while pension funds rose by 1.25%.

■Equity Funds were the top-performing category among investment funds with a return of 2.73%.

The 2.38% rise in the BIST 100 index indicates strong reaction buying from the 13,941.98 support level. However, testing the 14,265.51 resistance and closing the week at 13,981.05 strengthens the possibility of a consolidation near the upper band of the Ichimoku cloud in the short term. The sharp decline in gold confirms that portfolio distribution is shifting towards risky assets.