AKBTY Akbank Turk Anonim Sirketi (QX)

   By Yeliz Kazan 
 

ISTANBUL-Borsa Istanbul, the Turkish stock-market operator, banned short selling in Halkbank shares Wednesday, a day after U.S. prosecutors charged the Turkish state-owned lender with taking part in a multibillion-dollar scheme to evade U.S. sanctions on Iran.

Borsa Istanbul also banned short selling in six other publicly-traded banks, Akbank, Garanti Bank, Is Bank, TSKB, Yapi Kredi Bank and Vakifbank. The operator didn't say how long the ban would remain in force.

The Halkbank indictment was unsealed by New York prosecutors Tuesday as the Trump administration is heightening pressure on Turkey to halt a military offensive in northeastern Syria.

Halkbank said it was innocent and would exert all legitimate recourses against what it called an "unwarranted case."

Halkbank shares were down 5.4% in early afternoon trading in Istanbul.

Analysts said the short-selling ban was aimed at preventing speculative transactions in banking shares amid high volatility risks on currency markets.

"If the lira does weaken over time this will hit the banks' profitability and their share price," said Nigel Rendell, an analyst at Medley Global Advisors in London. "It looks like the authorities are trying to guard against this by restricting short selling and therefore curtailing returns from those who might want to bet against the banks."

Turkish main BIST-100 index traded 1.2% lower in early trading, while Turkish lira was up 0.5% against the dollar.

Write to Yeliz Kazan at yeliz.kazan@wsj.com

(END) Dow Jones Newswires

October 16, 2019 07:38 ET (11:38 GMT)

Akbank Turk Anonim Sirketi (QX) (USOTC:AKBTY)
Historical Stock Chart
Von Mai 2024 bis Jun 2024

Akbank Turk Anonim Sirketi (QX) (USOTC:AKBTY)
Historical Stock Chart
Von Jun 2023 bis Jun 2024