ISTANBUL: Turkey’s annual inflation rate rose more than expected in July notching the highest level since January, mainly due to rising alcoholic beverages, tobacco and food prices.
The consumer price index rose 8.79% in July from a year earlier and increased 1.16% from the previous month, the state statistics agency said Wednesday. The July inflation rate had been forecast to rise 0.6% on a monthly basis, bringing the annual inflation rate to 8.3%, according to a survey conducted by The Wall Street Journal.
Turkey’s annual inflation rate was 7.64% in June. The domestic producer price index increased 3.96% in July from a year earlier and increased 0.21% from the previous month. At 0710 GMT, the Turkish lira was trading 0.4% lower at TRY3.0037 against the dollar, compared with TRY3.0001 before the announcement. The yield on two-year benchmark government bonds was steady at 9.18%. And the main BIST-100 stock index extended its losses and was down 0.7%.
