U.S. Dollar Slides Toward Biggest Annual Loss Since 2017 as 2026 Risks Loom 
USDA $12 Billion Farm Aid Program Draws Mixed Reactions from Row Crop Farmers 
Oil Prices Stabilize at Start of 2026 as OPEC+ Policy and Geopolitical Risks Shape Market Outlook 
Elon Musk Reportedly Eyes June 2026 SpaceX IPO Timed With Planetary Alignment and Birthday 
U.S. Dollar Starts 2026 Weak as Yen, Euro and Sterling Hold Firm Amid Rate Cut Expectations 
First Abu Dhabi Bank Reports 22% Jump in Q4 Profit, Beats Market Expectations 
BYD and Exxon Mobil Strengthen Hybrid Technology Partnership 
Japanese Business Leaders Urge Government Action as Weak Yen Strains Economy 
C3.ai in Merger Talks With Automation Anywhere as AI Software Industry Sees Consolidation 
U.S. Dollar Steadies Ahead of Fed Minutes as Markets Eye Policy Divisions 
Oil Prices Slide in 2025 as Oversupply and Geopolitical Risks Shape Market Outlook 
Volkswagen CEO Oliver Blume Faces Crucial Year as Investors Demand Turnaround Results 
Micron to Expand Memory Chip Manufacturing Capacity in Singapore Amid Global Shortage 
South Korea Inflation Rises to 2.3% in December, Matching Market Expectations 
Oil Prices Slip Slightly as Markets Weigh Geopolitical Risks and Supply Glut Concerns 
Ford and GM Near Financing Deal to Support First Brands Group During Bankruptcy 
International banks have revised their inflation expectations for Turkey following encouraging June CPI data. Consumer prices rose by 1.64% from May, with the annual inflation rate dropping from 75.45% to 71.60%. Finance Minister Mehmet Şimşek declared the start of a disinflation process.
International Banks Lower Turkey's Inflation Forecasts as June CPI Shows Positive Economic Shift
The encouraging June CPI estimate has prompted international banks to revise their inflation expectations for Turkey, signaling a positive turn for the Turkish economy.
Consumer prices increased by 1.64 percent from May last month, which was lower than expected. The annual inflation rate also significantly decreased, from 75.45% to 71.60%, indicating a stabilizing economy.
Finance Minister Mehmet Şimşek, in a positive tone, declared that 'The disinflation process has begun,' in response to the latest inflation numbers, instilling confidence in the future of the Turkish economy.
Monthly producer prices increased by 1.38, resulting in an annualized increase of 50%. Şimşek stated that the most recent inflation is by the end-of-year objective.
The government's medium-term inflation target for 2024 is 33 percent. In May, the Central Bank increased its inflation forecast for the end of 2024 from 36 percent to 38 percent.
Global Banks Adjust Turkey's Inflation Forecasts Downward After Positive June CPI Data
Following the June inflation statistics publication by the Turkish Statistical Institute (TÜİK). JP Morgan has revised its inflation forecast for Turkey from 43.5 percent to 42.5 percent for the end of 2024. Additionally, the bank reduced its 2025 forecast from 25.2 percent to 25 percent.
Goldman Sachs, another significant global bank, contended that inflation may increase in July; however, it anticipates it will decline to 36 percent by the year's conclusion.
Morgan Stanley has reduced its inflation forecast for 2024 from 43.4 percent to 42.4 percent, a decrease from the previous estimate. The bank anticipates that Turkish inflation will decrease to 25.2 percent in the upcoming year, according to Hürriyet Daily News.
In a report, HSBC economists stated that the June CPI estimate highly favors the Turkish central bank, which provides a positive outlook for the economy, and the Turkish Lira, which suggests a potential currency strengthening.
They concluded that the June CPI estimate is unquestionably a positive outcome from the perspective of monetary policy and its credibility.
Photo: Microsoft Bing
