January Inflation Data was Above Expectations

January inflation data was above expectations. Annual inflation data for January was 14.97 percent.

Turkish Statistical Institute (TURKSTAT) announced the inflation data for January. According to the announced data, the consumer price index increased by 1.68 percent compared to the previous month. Annual core inflation was recorded as 15.50 percent in January. The upward trend in producer prices continued in January as well. According to the announced data, the producer price index rose 26.16 percent annually. The monthly increase in the producer price index was 2.66 percent.   Economists' Expectations were Around 14.68 Percent Economists, who participated in the Bloomberg HT survey, expected annual inflation to be 14.68 percent in January. On the other hand, economists who participated in the AA survey had an inflation expectation of 14.75 percent for January. In November and December, the inflation rate had exceeded economists' expectations. According to the data announced by TURKSTAT, the inflation rate was 14.60 percent in December.   Most Price Increase was on Tangerine and Bridge-Highway Fees According to the data announced, the highest annual increase in expenditure groups was in the various goods and services group with 24.53 percent. This group was followed by household goods with an increase of 23.25 percent and transportation with 21.43 percent. The other main groups where the increase was low compared to the same month of the previous year were clothing and footwear with 2.12 percent, education with 6.13 percent and communication with 6.32 percent. As of the main spending groups, the other main group that decreased in January 2021 was education with 0.03 percent. The groups with the least increase were recorded as communication with 0.31 percent, alcoholic beverages and tobacco with 0.67 percent and transportation with 1.12 percent. In addition, the groups with high increases in January 2021 by main expenditure groups were health with 4.25 percent, housing with 3.02 percent and household goods with 2.90 percent. Tangerine was one of the products whose prices increased the most in January with 26.77 percent. It was followed by the highway fee with 25.50 percent and cucumber with 21.29 percent.