Turkey’s stock exchange, Borsa Istanbul (BIST), has been on the rise in recent weeks following a period of turbulence. The main share index, BIST 100, which dipped to 60,753 points on Jan. 29, has since gained 25%, reaching the 76,000-point threshold. According to figures obtained from Is Investment, the index stood at 61,141 points on Feb. 27, so investors who put money in the Turkish stock exchange at the end of February have seen their shares gain by nearly 25% in a period as short as two months and 10 days.

The index had rallied to an all-time high of 93,178 points on May 22, 2013. The ensuing regression resulted in a loss of 32,425 points over nine months, bringing the index down to 60,753 points. Boosted by expectations of political stability in the wake of the March 30 local elections, coupled with favorable developments abroad, the stock market regained ground and the index challenged the 76,000-points bar during May 8-9. Will the rally continue?

Brokers have switched to using cautious language in the past few days. The breathless rally could give way at any time to profit-taking. In fact, recent trading has already seen some small-scale sell-offs. The major slumps typical for May appear to have not yet started. Some expect the index first to retreat and then embark on a fresh rally, pushing the 80,000-point threshold.

A year of crisis