The Central Bank of the Republic of Turkey announced the Economic Tendency Statistics and Real Sector Confidence Index for July.
The results of the Economic Tendency Survey were obtained and evaluated by weighting and aggregating the responses of 1778 workplaces operating in the manufacturing industry.
Accordingly, the Real Sector Confidence Index decreased by 2.5 points compared to the previous month in July and fell to 100.3. In the same period, the seasonally adjusted real sector confidence index decreased by 1.8 points and was realized at 98.7.
When the diffusion indices of the survey questions forming the index are examined, the evaluations regarding the current finished goods stock, production volume in the next three months and export order quantity in the next three months affected the index in an upward direction, while the evaluations regarding the total order quantity in the last three months, general course, fixed capital investment expenditure, current total order quantity and total employment in the next three months affected the index in a downward direction.
In the evaluations for the last three months, the trend in favor of those reporting a decrease in the domestic market order quantity strengthened compared to the previous month, while the trend in favor of those reporting an increase in production volume and export order quantity weakened compared to the previous month.
While the assessments that current total orders are below seasonal norms have strengthened compared to the previous month, the assessments that current finished goods stock levels are above seasonal norms have declined compared to the previous month.
In the evaluations for the next three months, the trend in favor of those expecting an increase in production volume strengthened compared to the previous month, while the trend in favor of those expecting an increase in export order quantity and domestic market order quantity weakened compared to the previous month.
PPI EXPECTATION DECREASED TO 51.8 PERCENT
The trend in favor of those who expect an increase in average unit costs in the next three months and those who reported an increase in the last three months has weakened.
While the expectations for an increase in the sales price in the next three months have strengthened, the annual Producer Price Index (PPI) expectation as of the end of the next 12-month period decreased by 1.8 points compared to the previous month and was realized at 51.8 percent.
While 55.7 percent of the workplaces that participated in the survey in July stated that there were no factors restricting their production,
13.8 percent reported that lack of demand was the most important factor limiting their production.
The trend in favor of those who stated that they were more pessimistic about the general course of the industry they were in, compared to the previous month, strengthened.
