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Capital-grabbing MARKETS TIA: securing the bailback?

Capital-grabbing MARKETS TIA: securing the bailback?

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BANKS STATKING: CAP RAISES IN HORIZON?

The Turkish lira licks his wounds following this week's historic drop to record lows but although the calm appears, the local banks will face challenges.

Credit Suisse is doing a new look at the sector; even though its reporting suggests all banks "appear comfortable" on the liquidity front, it expects banks need capital injection or forbearance measures for capital ratios.

The Swiss stock exchange's Ates Buldur, analyst, predicts that the "depreciation pressure on TL has continued, and then redefine the solvency related forbearance in a favourable way," says Buldur. "The regulator will give the dividends to 2021 earnings a 'bring'.

In a note, state banks may consider a further round of capital injection. We don't allow well-capitalized private banks to carry out rights issues in order to keep large buffers large," she adds.

According to credit Suisse calculations based on management guidance, every 10% of depreciation in the lira carries a negative impact on the bank's capital ranging from 25 to 80 basis points.

In the image in the photo, you can see how the Turkish bank stocks underperformed the MSCI World Bank index.

(Danilo Masoni)

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THE BULL MARKET 'NEXT YET'-0949 GMT.

Although European stocks are on track for their second-best annual returns since the 2008 financial crisis after year-to-date gains of more than 20%, analysts aren't calling time on the rally yet.

From Morgan Stanley and BNP Paribas, European markets spies optimism, and predict a year of global markets for next year.

Following the strong growth in the context of a favorable macro environment with cost inflation likely to top soon, they predict a 9% upside to European stocks by end-2022 mainly driven by a strong market economy with a cost inflation to go up by half a mile a second.

Their top calls are Long European Green Deal basket, Long banks, Long European Capex, Long European buy backs index.

(Saikat Chatterjee)

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The TECH'S FOOD, LUXURY, and BIG, PHARMA TO GO 000.

Following yesterday's volatile session the STOXXX 600 bounced with somewhat more conviction.

Capital markets will be trying to reduce the impact of a resurgence of COVID cases in Europe. The US government are paying more attention to its policies, while the banks and oil prices are experiencing a staleve of pressure at the expense of a cyclical and economic recovery.

The pan-European equity index was ten times lower, and all the stocks, such as ASML, Pharmafirm Astrazeneca, LVMH, Nestle among the top positive weights of the index, as you see in the snapshot.

Finally, the cognac maker Remy Cointreau and the radiation therapy equipment maker Elekta provided support, with their shares climbing 10.6 and 7% respectively.

(Danilo Masoni)

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The AMERICANS GIVE THANKS 0812 GMT.

Thanksgiving is and the United States have great reasons to celebrate. In a recent update, we showed an attractive consumer spending record, sharp gains in unemployment since 1969 and an inflation index rise in four digit digits.

The figures reinforced the image that the economies swung from the rest of the world still struggling with COVID-19 fallout was so extreme that anxiety about rising inflation echoed at the U.S. Fed, minutes from its last meeting showed that Wednesday also.

The Eurozone is in a tight contrast: there has been a recent fall in inflation and coronavirus infections that killed American consumers again as low as 30.

The American dollar beats the US dollar off 17 months versus the euro and five years to the yen.

The trend of emerging markets is unconvinced by its strong inflation slewning rates and tense inflation in many countries. South Korea led the increase of interest rates for the second year this year as well as higher projections on inflation.

The lira has dropped 26% this month, and the dollar is the exception. The yena has reverted to a lira, but the tradition about Thanksgiving turkeys is reflected in the report and a bank research notes.

Key developments should give more direction to the markets on Thursday: Key developments for the market; they will improve on Thursday:

-German coalition is aiming towards the return of debt limits from 2023 open to EU reforms - With a European reform perspective -Europe's return to debt limits, if its limits are 2023, and open for EU reforms - for Germany, Germany and Germany will open up the return of the debt limit, to the deadline for debt capital reforms from 2023 - Germany sees return toward debt limits, with open to EU reforms.

-Swedish PM resigns on first day of work, hoping prompt return soon.

The rate decision is in Swedish.

Speakers of the ECB: President Christine Lagarde; Fanny Elderson, Philip Lane, Edouard Fernandez-Bollo, President - Chair of the ECB.

Economic growth -South Korea - economic growth - Sri Lanka entrancing, Sri Lanka - / Lanka april; / Sri Lanka april / The economic development of new markets will / change / South Korea, / New York up / Sri Lanka.

As for H1 profit, / Remy Cointreau raises annual outlook for the year - Germany to discuss the move to a TIM after binding bid / Italy to discuss KKR's move on TIM after binding bid.

Suki Rao (Sujata Rao)

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STEADYING A WEEK LOWS (745 GMT) READING A TOWN DAY.

After a long-term collapse on a reverberous occasion yesterday / following a strong session European shares are looking set for another day of marginal gains that should aid the STOXX regional benchmark to recover above three-week lows.

A recent report shows that a number of investors are eager to ignore concerns over new restrictions in Europe, even with Germany and the recent report showing an official willing to rethink what the EU is called a broader policy.

Wall Street is shut for Thanksgiving and likely curbs activity across the board. However, its positive close overnight and the gains in Asia-Pacific stocks go well with risk sentiment here in Europe today.

Euro stock futures went up between 0.1% and 0.3% last year.

Danilo Masoni)

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