In May 2022, the seasonally and calendar adjusted SAMEKS Composite Index rose by 2.1 points compared to the previous month to the value of 56.3.

While the Services Sector SAMEKS Index, which rose by 4.0 points at once compared to the previous month to the level of 57.4, played a decisive role in this development, the Industry Sector SAMEKS Index, which rose by 0.7 points compared to the previous month to the level of 55.0, also maintained its positive outlook.

In this period, it is observed that business volume gained significant momentum with the rapid increase in input purchases for the services sector. In the industry sector, the course of new orders and input purchases above the reference value continued to keep production in positive territory, even though the rate of increase declined compared to the previous month.

As a result of the developments in question, the seasonally and calendar adjusted SAMEKS Composite Index, which stood at the level of 56.3, remained above the reference value of 50 for the 5th consecutive month and indicated that the vitality in economic activity continues.

Industry Sector SAMEKS Index

The seasonally and calendar adjusted Industry Sector SAMEKS Index rose by 0.7 points in May 2022 compared to the previous month to the level of 55.0. In this period, the rise of input purchases by 15.5 points at once compared to the previous month to the level of 73.7 was the determinant of the positive outlook observed across the sector. New orders for May, on the other hand, lost 2.0 points of momentum compared to the previous month and stood at the level of 50.4. With the decline in the rate of increase in new orders, the production sub-index for the industry sector also fell by 2.6 points compared to the previous month; nevertheless, it continued its course above the reference value with 50.1 points and presented a favourable outlook. As the course of new orders lagged behind the increase in input purchases, the finished goods stock recorded an increase, and the sub-index in question, which registered a rise of 1.2 points compared to the previous month, climbed to the level of 50.9. The suppliers' delivery time sub-index, which stood at the level of 56.3 points, indicated that the favourable outlook in firms' procurement of goods and services continues. In parallel with the general positive outlook in the sector, labour demand continued to increase, and the employment sub-index, which recorded a rise of 0.6 points compared to the previous month, climbed to 53.3 points. Thus, the Industry Sector SAMEKS Index, which carried its course above the reference value of 50 into its 10th consecutive month, reached the highest level of the last 5 months with 55.0 points.

Services Sector SAMEKS Index

The seasonally and calendar adjusted Services Sector SAMEKS Index rose by 4.0 points in May 2022 compared to the previous month to the level of 57.4. In this period, input purchases for the sector rose by 6.6 points to the level of 78.9 and maintained their strong course in May as well. In parallel with the acceleration of input purchases, the business volume sub-index, which recorded a rise of 3.0 points compared to the previous month, climbed to the level of 54.0 and presented a positive picture. While the finished goods stock sub-index, despite recording a rise of 1.2 points compared to the previous month, maintained its course below the reference value with 45.7 points, the suppliers' delivery time sub-index, which had fallen below the reference value last month, climbed to 53.1 points and presented a favourable picture once again. As a result of the positive developments across the sector, the employment sub-index also rose by 4.0 points compared to the previous month to the level of 51.7. As a result of the developments in question, the Services Sector SAMEKS Index, which climbed to the level of 57.4, continued its course above the reference value and presented positive signals for the sector as a whole.

COMMENTARY:

The SAMEKS Composite Index, which has followed a course above the reference value of 50 throughout 2022, rose to the highest value of the last 16 months with its level of 56.3 points for May. In this period, the Services Sector SAMEKS Index also gained momentum compared to the previous month and carried the upward trend in business volume in the sector into its 3rd consecutive month. The Industry Sector SAMEKS Index, which climbed to 55.0 points in this period with the effect of input purchases, also stood at the highest level of the last 6 months; on the other hand, the loss of momentum in production in the sector compared to the previous month drew attention.

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