Garanti Bankasi, Turkey's second-largest private lender by assets and a subsidiary of BBVA, saw its shares rise 4.7% after the bank announced a share buyback program, according to Investing.com. A buyback reduces the free float and per-share capital base, which typically supports earnings-per-share and signals management's view that the shares are undervalued relative to the bank's capital position. Because Turkish bank equities are highly sensitive to lira volatility and domestic rate expectations, the move also reflects a broader risk-appetite channel, with foreign investors reassessing exposure to the Borsa Istanbul financial sector. Peer banks and the BIST 100 index are the most likely to see correlated flows, while the lira and Turkish sovereign bonds remain indirectly exposed through capital-flow sentiment. Traders should watch the central bank's next rate decision and the monthly inflation print, since any repricing of disinflation expectations would directly affect bank net interest margins and the durability of this rally.
Garanti Bankasi shares climb 4.7% on buyback plan
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