Ankara - Turkey’s consumer price inflation climbed more than estimated in June, led by a surge in food prices.
The annual inflation rate was 7.64% to rise to 6.94%. Food prices rose an annual 6.63% through June, compared with 2.47% in May.
A core inflation gauge, which excludes volatile items such as food and gold, slowed to 8.67%, from 8.77% the previous month.
The central bank’s rate-setting committee led by Governor Murat Cetinkaya noted the decline in the core index last month when it cut the overnight lending rate by half a percentage point to 9%. Despite the slowdown in the core index, inflation in services and labour costs merit a “tight” liquidity stance, the bank said at the time.
The lira trimmed gains after the inflation data and was trading 0.4% higher at 2.8900 per dollar at 10:03 a.m. in Istanbul.