With a strong fall of 3.33%, the stock market closed the week ending.

The domestic market succumbed to international pressures, with international stock markets retreating as concerns about a possible recession in the US economy returned.

The fear of a recession in the American economy, the concern about “inflating” the shares of Artificial Intelligence companies, the FED’s delay in reducing interest rates, are the reasons for the “sell-off” in the international markets last Monday.

But according to several analysts, the “carry trade” was the main cause of “Black Monday”.

The strategy – which involves borrowing at low interest rates to fund purchases of higher-yielding assets elsewhere – has been in the spotlight for months.

Yen transfer trades – borrowing at low interest rates in Japan to finance purchases of higher-yielding assets elsewhere – were among the most popular. Those trades fell sharply last week as global market volatility spiked amid fears of sharp cuts in interest rates by the Federal Reserve and after the Bank of Japan’s larger-than-expected rate hike.

Three-quarters of the global carry trade has now been wiped out, with the recent selloff erasing this year’s gains, according to JPMorgan.

Markets stabilized towards the end of the week as a bigger-than-estimated drop in new US jobless claims eased recession fears that sent markets into a massive sell-off earlier in the week.

The General Price Index closed the week at 1,383.31 units, against 1,430.90 units the previous week, marking a weekly drop of 3.33%, while since the beginning of the year it has recorded gains of 6.97%.

Technically, the crossing of 1,380 units is positive, with the target of the next movement at 1,420-1,430 units. Strong support area the levels of 1,320-1,310 units.

The FTSE/ASE 25 large-cap index closed the week down 3.53% and since the start of 2024 is up 7.77%. The FTSE MID mid-cap index closed down 1.97% for the week, down 2.26% since the start of the year.

The banking index closed the week with losses of 3.37%, while since the beginning of 2024 it has recorded gains of 14.20%.

The total value of transactions in this week’s sessions was 677.304 million euros, while the average daily value of transactions was 135.461 million euros compared to 104.911 million euros.

The total market capitalization this week decreased by 3.207 billion euros and reached 96.128 billion euros, while since the beginning of the year it has increased by 8.240 billion euros.