CHP Claims Borsa İstanbul ‘Shaken by Judges, Not Traders’

Türkiye’s political turbulence spilled into the financial markets this week, as the 22nd Extraordinary CHP Istanbul Provincial Congress coincided with sudden swings on the Borsa İstanbul. CHP Deputy Chairman Gökan Zeybek harshly criticized the developments, claiming that judicial intervention in party politics triggered “a state-backed stock market shakeout.”

aJudicial Decision Sparks Political and Market Tensions

The controversy unfolded on the morning of the CHP Istanbul Congress. The Istanbul 45th Civil Court of First Instance sent a letter to the Sarıyer District Election Board ordering the suspension of the ongoing congress — directly challenging the Supreme Election Council (YSK), which had ruled earlier that “a congress already in progress cannot be stopped.”

At the same time, lawyer Cevahir Kılıç, representing Özlem Erkan (whose legal challenge led to a trustee being appointed over the CHP Istanbul branch), reportedly attempted to enter the congress hall accompanied by bailiffs, sparking further chaos.

Zeybek: “A Judicially Backed Market Shakeout”

Speaking on Halk TV’s “Rota” program, Gökan Zeybek argued that the court decision not only undermined democracy but also reverberated across the financial system.

He pointed to the timeline: between 11:00 a.m. and 2:00 p.m., the stock market experienced sudden turbulence, with some shares falling as much as 5–6%.

“If speculators had caused this, they would have been in custody by now. But this time it happened through the judiciary. Investors panicked, thinking there was political interference through a court decision, and rushed to sell shares. Two hours later, prices recovered. This was a judicially backed speculation.”

Impact on Investor Confidence

Zeybek warned that such interventions damage confidence in capital markets and hurt ordinary citizens financially:

• Short-term sell-offs created panic among small investors.

• The perception of judicial influence in politics spilled over into financial markets.

• The volatility underlined the risks of political-judicial uncertainty for investors.

He added that the responsibility lies with the political leadership, as the chain of events created both institutional instability and economic losses.

YSK and Judiciary in Open Conflict

The dispute between the YSK and the Istanbul Civil Court deepened as the Supreme Election Council called an extraordinary meeting to evaluate the lower court’s suspension request.

While political actors clashed over legitimacy, the financial community focused on how the developments coincided with unusual volatility on the Borsa İstanbul.

Analysts note that political and judicial turbulence can increase market sensitivity, making equities more vulnerable to speculation and rapid shifts.

Experts: Markets React to Political Signals

Financial experts caution that such patterns are not random:

• Market volatility often mirrors political shocks.

• Judicial actions in highly visible cases can send signals that ripple through investor behavior.

• Perceptions of instability in the rule of law translate into higher financial risk premiums.

Zeybek’s description of a “silkeleme” — a deliberate shakeout of investors — was interpreted not just as political rhetoric but as a warning to Türkiye’s economic managers about the risks of mixing judicial interventions with market dynamics.

Bigger Picture: Politics and Markets Intertwined

The events surrounding the CHP Istanbul Congress demonstrate the fragile relationship between politics, judiciary, and financial markets in Türkiye. While the YSK and local courts battle over the legality of party congresses, the stock market is emerging as a barometer of political uncertainty.

For ordinary investors, the message is clear: political turbulence can swiftly spill into economic life, eroding trust in institutions and confidence in markets.