ADNOC Gas Targets Up to $4B Profit in 2026 
Australia Sets New Minimum Pay, Insurance Rules for Gig Workers 
Airbus Joins Air India A320 Altitude Drop Probe 
JPMorgan Plans More Asia-Pacific Hiring in 2027 as Corporate Banking Revenue Surges 
Sony, TSMC Eye $6.3 Billion Japan Chip Venture for Next-Gen Image Sensors 
Singapore Raises 2026 GDP Growth Forecast as AI Demand Fuels Economy 
Asian Currencies Steady as Markets Await U.S. Inflation Data 
Nvidia Secures $500 Billion AI Infrastructure Push With Wall Street Giants 
Delta Flight Makes Emergency Landing in Atlanta After Cockpit Fumes Reported 
Singapore Raises 2026 GDP Growth Forecast to 4.5%-5.5% as AI Boom Fuels Economy 
US Judge Dismisses Gautam Adani Criminal Charges 
OpenAI Restricts Astra AI Over Cyberattack Risks 
Goldman Sachs Sees US Stock Buybacks Outpacing Equity Issuance as AI Funding Rises 
Australia Housing Crisis Deepens as Worker Shortages Delay Homebuilding 
Trump Weighs Capital Gains Tax Cuts Ahead of Midterms 
S&P 500, Nasdaq Futures Rise as Iran Risks and CPI Loom 
Oil Prices Rise as Hormuz Tensions Threaten Global Supply 
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
