In December 2020 the seasonally and calendar adjusted SAMEKS Composite Index rose by 2.9 points compared with the previous month to the value of 52.2.

While the rise of the industry sector index by 8.5 points compared with the previous month to the level of 55.8 was effective in this increase observed in the index, the services sector index also rose by 0.3 points compared with the previous month to the level of 50.9 and maintained its positive outlook relating to November.

While the rapid increase realized in new orders was effective in the rise observed in the industry sector index, in the services sector index it is seen that, despite input purchases maintaining their high course, the stagnant picture in business volume continues.

Thus the seasonally and calendar adjusted SAMEKS Composite Index, which rose by 2.9 points compared with the previous month in December to the level of 52.2, stood above the reference value of 50 and pointed to the recovery in the real sector relating to this period.

Industry Sector SAMEKS Index

The seasonally and calendar adjusted Industry Sector SAMEKS Index rose in December 2020 by 8.5 points compared with the previous month to the level of 55.8.

The new orders sub-index, which recorded an increase of 18.1 points at once compared with the previous month and rose to 62.5 points, became the determinant of the increase observed in the industry sector index.

Input purchases, which continued their loss of momentum of the November period in December as well, fell by 3.5 points compared with the previous month to the level of 37.8.

It is seen that, although new orders recorded an increase, the decline in input purchases caused the finished goods stock sub-index relating to the sector to fall by 4.4 points to 41.4.

The suppliers' delivery time sub-index, which rose by 7.2 points compared with the previous month to the level of 63.6, points to a visible recovery in the sector's supply of goods and services.

The employment sub-index relating to the industry sector, on the other hand, despite falling by 0.7 points compared with the previous month, maintained its course above the reference value and displayed a positive outlook.

As a result of these developments, the production sub-index for the sector recorded an increase of 5.1 points and rose to the level of 52.9, standing above the reference value for the first time since the July 2020 period.

Thus the Industry Sector SAMEKS Index, which rose by 8.5 points compared with the previous month to the level of 55.8, displayed a serious recovery trend in the last month of the year.

Services Sector SAMEKS Index

The seasonally and calendar adjusted SAMEKS Services Sector Index rose in December 2020 by 0.3 points compared with the previous month to the level of 50.9.

While it was observed that the upward trend in input purchases relating to the sector continued in this period as well, the purchasing sub-index rose by 3.9 points compared with the previous month to the level of 69.7.

The business volume sub-index, on the other hand, which despite recording an increase of 2.8 points compared with the previous month was realized below the reference value at 43.2 points, points to the stagnation in the sector.

Despite the continuation of the increase in input purchases, the stagnant course observed in business volume accelerated the stock increase relating to the sector, and the finished goods stock sub-index recorded an increase of 5.7 points compared with the previous month and rose to the level of 47.3.

The suppliers' delivery time sub-index, which was realized at the level of 52.3 in this period, displayed a positive outlook towards the supply of goods and services relating to the sector.

The employment sub-index, which recorded an increase of 5.7 points compared with the previous month and rose to the level of 58.2, also points to the continuation of labour demand across the sector.

Thus the Services Sector SAMEKS Index, which recorded an increase of 0.3 points compared with the previous month and points to a relative acceleration, continued in December the recovery trend that began in November.

COMMENTARY:

The SAMEKS Composite Index, which moved below the reference value of 50 in October and November and presented a negative outlook for the last period of the year, rose to the level of 52.2 in December and stood above the reference value of 50 once again after a 2-month interval.

Thus SAMEKS, which with a quarterly average of 50.5 points indicates that the positive growth trend in the Turkish economy continues, shows that despite the monetary tightening steps taken in the recent period, activity in the real sector continues.