Sectoral Confidence Rise In Inservices And Retail Trade, Falls In Construction

- Sectoral confidence rose in both services and retail trade sectors, while confidence in construction sector fell in July, known as the "high season" according to the Sectoral Confidence Indices data released by Turkstat on Monday.

Confidence indexes increased by 1.4 percent in services and by 0.7 percent in retail trade sectors, while fell by 2.8 percent in construction sector in July.

Sectoral confidence indices can take value between 0 and 200. It indicates an optimistic outlook when the index is above 100, but it indicates a pessimistic outlook when it is below 100.

Seasonally adjusted confidence index which was 99.34 for services in June rose to 100.69 in July, passing over the "optimistic" level.

This increase in the services confidence index stemmed from the increased number of managers expecting an increase in “demand-turnover” over the next three months. The number of managers evaluating an deteriorated “business situation” over the past three months and decreased “demand-turnover” over the past three months increased.

Seasonally adjusted retail trade confidence index increased to 104.45 in July.

This increase in the retail trade confidence index stemmed from the increased number of managers evaluating “current volume of stock” as below normal for the season and expecting an increase in “business activity-sales” over the next three months. The number of managers evaluating a decrease in “business activity-sales” over the past three months increased.

Seasonally adjusted confidence index which was 84.71 for construction in previous month became 82.33 in July.

This decrease in the construction confidence index stemmed from the increased number of managers evaluating “current overall order books” as below seasonal normal and expecting a decrease in “total employment” over the next three months.