Turkey’s sectoral confidence indices send mixed signals
Turkey's services and retail trade sectors posted a rise in confidence in August, while the construction sector saw a drop, the country's statistical authority reported on Aug. 25.
Seasonally adjusted confidence indices for services and retail trade was up by 5.7 percent and 0.2 percent, respectively, and dropped by 2.3 percent for the construction sector, month-on-month in August.
The index for services rose 70.5 in August, up from 66.7 in July, according to the Turkish Statistical Institute (TÜİK).
"In the services sector compared to the previous month, the business situation over the past three months sub-index increased by 15.9 percent to 63.2," it noted.
The retail trade confidence index, which rose to 94.9 in August, was 94.6 last month, while the construction confidence index stood at 85, decreasing from 87.
The business activity-sales expectation for the past three-month period rose by 14.5 percent to 79.7, while "current overall order books sub-index became 70 by decreasing 5.2 percent".
"Among the main factors limiting activities in the construction sector; financial constraints which were 38.2 percent in July realized as 40.1 percent in August, insufficient demand which was 31.9 percent in July realized as 31.5 percent in August and other factors which were 19.9 percent in July realized as 20.3 percent in August," it added.
Sectoral confidence indices calculated from the monthly survey results are evaluated within the range of 0-200.
These indices indicate an optimistic outlook when the value is above 100, a pessimistic outlook when it is below 100.