Turkey: Headline CPI prints 20.3% y/y in December - TDS

Analysts at TD Securities note that Turkey’s December headline CPI inflation came out at 20.3% Y/Y, close to the consensus of 20.5% Y/Y and down from a prior 21.6%.

Key Quotes

“Core inflation also fell to 19.5% Y/Y from a prior 20.7%. Unsurprisingly, the main driver of the fall in the headline Y/Y rate was the Transport category, where inflation fell to 16.0% Y/Y from 21.0%, largely due the recent falls in global oil prices.”

“The immediate response of the lira to the CPI data was limited, but prior to this we have had some extreme moves in Asian time, with USDTRY moving all the way up to 5.93 on Bloomberg and 6.44 on Reuters matching.”