factoryTurkishWorld News

Turkish factory output and current account disappoint


Investing.com - Financial Markets Worldwide

Please try another search

ReutersEconomic Indicators38 minutes ago (Sep 13, 2021 03:55AM ET)


© Reuters. FILE PHOTO: A worker checks the settings of a machine at a factory in the central Anatolian city of Kayseri February 12, 2015. REUTERS/Umit Bektas

ISTANBUL (Reuters) – Turkish industrial output rose 8.7% year-on-year in July, much less than forecast after rebounding strongly in previous months, while the current account deficit was wider than expected, data showed on Monday.

The disappointing data came after a strong run in which rebounds in consumption, exports and tourism set the economy on a path to near 10% overall growth this year, leaving last year’s initial coronavirus fallout behind.

Month-on-month, industrial output shrank 4.2% in July on a calendar and seasonally adjusted basis, the Turkish Statistical Institute said.

In a Reuters poll, production was forecast to have risen 15.1% annually in July after output surged 23.9% in June.

Separate data showed a current account deficit of $683 million in July, compared with a poll forecast of $570 million.

The July balance had been expected to show a relatively small deficit, due largely to a partial recovery in tourism revenues. The deficit narrowed from $1.122 billion in June.

The lira was 0.3% stronger at 8.4580 against the dollar after the data. But it has shed 2.5% in the last four trading days and some analysts expect more volatility heading into a monetary policy meeting on Sept. 23.

Societe Generale (OTC:) on Monday said the lira would likely weaken to 8.85 by year end, adding the central bank increasingly risks making the mistake of cutting interest rates too early given political pressure for stimulus.

Many Turkish factories halted work in March last year, soon after the first COVID-19 infection was recorded. Output dropped 31.4% in April and 19.9% in May before a recovery began in June.

Throughout the pandemic Turkey imposed temporary curfews and business closures, including a tough but brief lockdown in April and May of this year. The measures were lifted in June.

Related Articles

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

tp

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button
Close
Close