Turkey Introduces New Stock Market Regulations, Benchmark BIST 100 Index Soars!

TradingKey - Turkey Unveils New Stock Market Rules, Sparking a Nearly 4% Surge in BIST 100.  

On Monday, Turkey's benchmark Istanbul BIST 100 index (Index: XU100) rebounded sharply, gaining 3.76% to 9,384 points, driven by the introduction of new stock market regulations.

BIST 100 Chart, Source: Google.

On Sunday, Turkey's Capital Markets Board announced several new stock market rules:  

1.The short-selling ban, previously limited to 50 stocks, has been expanded to prohibit short-selling on all stocks. The ban takes effect on March 24 and will last for one month until April 25.  

2.Stock buyback rules have been relaxed, allowing listed companies to repurchase shares at prices higher than the latest closing price. Additionally, the minimum equity requirement for margin trading has been reduced from 35% to 20%.  

Last Wednesday, the detention of Istanbul Mayor Ekrem İmamoğlu triggered a massive sell-off in Turkey's financial markets, resulting in a rare simultaneous collapse of stocks, bonds, and the currency. On that day, the BIST 100 index triggered a circuit breaker, plummeting over 8%. By Friday, it had fallen nearly 8% again, with multiple trading halts during the session.  

As of this report, the BIST 100 has rebounded nearly 4% today, but it remains down approximately 13% since last Wednesday.