Turkey: Business confidence plunges in October
October 24, 2011
The Real Sector Confidence Index published by the Central Bank plunged from 112.4 points in September to 101.9 points in October, thus marking the lowest level since January 2010. With the monthly drop - the largest since November 2008 - the index moved closer the 100-point threshold that separates optimistic from pessimistic territory, suggesting softer investment growth. The deterioration in business sentiment reflected rising pessimism regarding export orders, as well as output volume, in the next three months. In addition, fixed investment expenditures dropped sharply after improving in September.