Turkey and Frontier Stocks: BIST 100, PSX, TASE, Merval — 2026-09-14
Turkey's central bank held its policy rate at 37% for a fifth consecutive meeting, citing oil price risks, while the BIST 100 managed a modest weekly gain of 3.25%. In contrast, Pakistan's KSE-100 faced selling pressure due to Middle East tensions, and Argentina's Merval fell 1.9% on Friday despite country risk falling to a one-month low.
Turkey and Frontier Stocks: BIST 100, PSX, TASE, Merval — 2026-09-14
Top developments
TCMB Holds Rates at 37%, Citing Oil Price Risks
On September 10, 2026, the Central Bank of the Republic of Türkiye (TCMB) kept its key policy rate at 37% for the fifth consecutive meeting. The decision was influenced by elevated oil prices and global geopolitical tensions, which have complicated the inflation outlook. Following the announcement, the BIST 100 banking index dipped as much as 1.2% intraday before closing lower, while the Turkish lira remained stable near 48.49 against the US dollar.
BIST 100 Gains 3.25% Weekly Despite Volatility
The BIST 100 index closed the week of September 7–11, 2026, with a gain of 3.25%. The index started the week with a 0.99% rise on Monday, September 7, reaching 14,151.59 points, but saw mixed trading throughout the week. On Friday, September 11, the index closed with a 0.51% increase, ending the week in positive territory despite intraday dips. Foreign investor activity was notable, with İş Yatırım reports highlighting specific stock inflows on September 8 and 9.
KSE-100 Suffers Two-Day Sell-Off Amid Regional Tensions
Pakistan’s stock market experienced significant volatility during the past week. The KSE-100 index faced selling pressure for two consecutive days earlier in the week due to escalating tensions in the Middle East. However, the market recovered sharply on September 12, with the index gaining 1,646 points to close at 170,511 points, signaling a potential rebound after testing the 169,000 level. Earlier in the week, on September 11, the index had lost ground, breaking below the 169,000 threshold.
Argentina’s Merval Falls 1.9% as Country Risk Hits One-Month Low
The S&P Merval index in Buenos Aires fell 1.9% on Friday, September 11, 2026, despite the country risk indicator (EMBI+) dropping to 485 basis points, its lowest level in a month. The decline in country risk reflects improved investor sentiment toward Argentine debt, but equities faced profit-taking. The wholesale dollar closed at 1,508.50 pesos, while the parallel dollar rose to 1,545 pesos. Bonos (government bonds) remained relatively flat, down 0.1% on average.
Local view
In Turkey, local financial media highlighted the resilience of the BIST 100 despite the central bank's hawkish hold. BorsaninGündemi noted that foreign investors were actively buying specific stocks, indicating selective confidence in the equity market even with high interest rates. In Pakistan, Urdu-language outlets like Bol News emphasized the sharp recovery on Saturday, framing it as a strong rebound from the mid-week sell-off driven by regional geopolitical fears. Argentine outlet Infobae focused on the divergence between falling country risk and falling equity prices, suggesting that while debt markets are stabilizing, the equity market is reacting to broader global oil price movements and local valuation concerns.
Context & numbers
- Turkey: BIST 100 weekly change: +3.25%. TCMB Policy Rate: 37% (held). USD/TRY: ~48.49.
- Pakistan: KSE-100 close (Sep 12): 170,511 points (+1,646 points). Previous low: ~169,000 points.
- Argentina: S&P Merval weekly change: Mixed, ended Friday -1.9%. Country Risk (EMBI+): 485 bps (one-month low). Wholesale Dollar: 1,508.50 ARS. Parallel Dollar: 1,545 ARS.
- Israel: No fresh daily close data available for TA-35 in the provided sources for the last 7 days.
- Kazakhstan: No fresh daily close data available for KASE in the provided sources for the last 7 days.
On the radar
- Next TCMB Meeting: Analysts suggest conditions are "falling into place" for a potential rate cut at the next meeting, depending on inflation data and oil prices.
- Argentina Inflation Data: Markets remain attentive to upcoming August inflation figures in Argentina, which will influence the trajectory of the peso and bond yields.
- MSCI Review: Turkish investors are watching the November MSCI review, which could impact foreign inflows into the BIST 100.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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