The Central Bank of the Republic of Turkey (CBRT) announced May Economic Tendency Statistics and Real Sector Confidence Index. The results of the Business Tendency Survey were evaluated by weighting and aggregating the responses of 1,743 workplaces operating in the manufacturing industry.
Accordingly, RKGE increased by 0.3 points to 108.3 in May compared to the previous month. In the same period, the seasonally adjusted real sector confidence index (RKGE-MA) remained unchanged compared to the previous month and stood at 105.1.
When the diffusion indices of the survey questions that make up the index are examined, it is seen that the evaluations regarding the export order amount in the next 3 months, the production volume in the next 3 months and the total order amount in the last 3 months affect the index in an upward direction, while fixed capital investment expenditure, general trend, total employment in the next 3 months, current Evaluations regarding finished goods stock and current total order quantity affected the index in a downward direction.
In the evaluations for the last 3 months, the trend in favor of those who reported an increase in their production volume weakened compared to the previous month, while the trend in favor of those who reported an increase in the domestic order volume strengthened compared to the previous month. The trend in favor of those reporting a decrease in the amount of export orders turned in favor of those reporting an increase.
The evaluations that the current total orders are below the seasonal normals and the evaluations that the current finished goods inventories are above the seasonal normals have strengthened compared to the previous month.
In the evaluations for the next 3 months, the trend in favor of those who expected an increase in the production volume, export order amount and domestic market order amount in the previous month strengthened, while the expectations for employment in the next 3 months and fixed capital investment expenditures in the next 12 months weakened.
PPI expectation fell to 62.8%
While the trend in favor of those who expect an increase in average unit costs in the next 3 months strengthened, the trend in favor of those who reported an increase in the last 3 months weakened.
While the expectations for an increase in the sales price in the next 3 months strengthened, the annual PPI expectation as of the end of the next 12 months decreased by 4.8 points compared to the previous month and became 62.8 percent.
While the rate of those who stated that they were more optimistic about the general course of their industry compared to the previous month, increased to 8.4 percent, the rate of those who stated that they were more pessimistic to 16.5 percent, while the rate of those who stated that they remained the same decreased to 75.1 percent.
