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BGC Partners: TURKEY - March inflation reading was broadly in line with expectations

March inflation reading was broadly in line with expectations... Monthly consumer price inflation came in at +1.0% in March, broadly in line with the +0.9% market consensus. We observe that food inflation surprised to the upside at 2.4% m/m, leading the annual CPI inflation remaining flat at 19.7% in March compared to February. Apart from food and health segments, we note that March inflation has surprised positively on most of the other sub-segments, leading a drop in annual core CPI to 17.5% in March, from 18.1% in February. Meanwhile, a renewed depreciation pressure on TL seems to have led to 1.6% m/m PPI inflation, which resulted in a flat annual PPI inflation of 29.6%.