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The Indicator did not change considerably compared to June 2009.
ANKARA- Trend of recovery observed since the beginning of the year turned downwards over the last two months. In June 2010 TEPE decreased by 1.2 points compared to the previous month. TEPE in June 2010 is quite close to the level in June 2009. The deterioration in expectations plays a major role in the drop.
Rapid deterioration in expectations attracted attention. In June 2010, 28.8 percent of the survey participants in June 2010 expect an improvement in their business activities over the next three months while 43.9 percent expect a fall. This implies a deterioration by 12 points compared to May 2010 and by 7.6 points compared to June 2009.
A similar drop is also observed in the retail index for EU countries over the last two months. However, EU-27 average still stands 4.3 points above the TEPE. It is observed that Eurozone countries, which go through challenging times, stand 1.6 points below the EU-27 average.
Considering sub-sectors it is seen that in June 2010 electrical appliances and textiles and ready-made clothing sectors performed better. On the other hand, furniture and motor vehicles sectors suffered drops by 3.9 and 11.6 points compared to the same period in the year before.
A comprehensive analysis of TEPE questions reveals that expectations in June 2010 decreased. On the other hand, employment expectations demonstrate a recovery in comparison with May 2010. Expectations for price increases do not reflect an inflationary pressure.
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