Newsletters
Turkish households' sentiment about the economic outlook hit its highest level since July 2018 as consumer confidence rose 1.3% to 91.9 in September, driven largely by stronger expectations for the future.
According to Turkish Statistical Institute (TurkStat) figures, the current household financial situation index fell 0.1% to 75.3, while the index measuring expectations for household finances over the next 12 months rose 0.6% to 93.7.
The index for expectations about the general economic situation over the next 12 months climbed 0.5% to 89.8, while the index measuring the current general economic situation dropped 3.6% to 62.3.
Households took a more positive view of spending as the index measuring whether the current period was suitable for buying durable goods advanced 3.4% to 61.3, while the measure of spending on durable consumer goods over the next 12 months gained 3.6% to 108.8, pointing to firmer purchasing intentions for the months ahead.
That more upbeat spending outlook also carried over to major purchases, as the probability of buying a car over the next 12 months jumped 7.9% to 30.0, while the likelihood of buying or building a home edged up 7.1% to 15.9.
The probability of saving over the next 12 months picked up 5.9% to 46.4 on an unadjusted basis and stood at 48.6 on a seasonally adjusted basis, while the likelihood of borrowing to finance consumption over the next three months moved 2.3% higher to 64.8, suggesting stronger saving and borrowing intentions among households.
The outlook for unemployment and prices remained mixed, as the index tracking expectations for the number of unemployed people slipped 0.9% to 81.8, representing an expectation of higher unemployment
The measure of consumer price expectations for the next 12 months dipped 0.4% to 53.7, while the wage expectations index edged up 0.3% to 110.5, leaving households slightly more upbeat about their income prospects even as price concerns remained elevated.
The consumer confidence index is a broad gauge of how households view their financial position and the wider economy, combining assessments of current conditions with expectations for the months ahead, as well as their spending tendencies. The index ranges from 0 to 200, with readings above 100 indicating an optimistic outlook and those below 100 pointing to a pessimistic one.
Set as preferred source
Set as preferred source
1 min read
1 min read
