Singapore Economic News

[Porkbelly]

Hmmm..not sure about economy being slow.
That news has been around since last year.

COE being stable at 45K ( Cat A )
STi climbing since Feb with a couple of
instances losing some 40points.. but it sure springs
up super fast with just 1 Yellen news from USA.
Gov not changing property curbs.. with analysts
citing pent up demand... ( bias of course )

There is still lots of fat out there and certainly
lots of fearless people too. Seems there are equally lots
of people waiting for prices to drop as they have
loaded cannons at the ready!


There is no fear... its honky dory still.

[CityFarmer]

Indirectly MAS has "devalued" S$...

MAS shifts to zero per cent appreciation of fx policy band

SINGAPORE – Singapore's central bank on Thursday (April 14) surprised markets by setting the rate of appreciation of the Singapore dollar policy band at zero per cent, and said the economy was projected to expand at a more moderate pace in 2016 than previously envisaged.
...
http://www.todayonline.com/singapore/sin...olicy-band

[corydorus]

When I read some report of industry experts saying MAS will reserve bullets for China and GreExit. I am like why are these expert so out of touch. We are slow in productivity and not as competitive as other nations. Our local industry is not doing well and we can't release the property brakes. Zero appreciation is good news and right step.

[CityFarmer]

The uncertainties are still around...

Singapore's non-oil domestic exports fall 15.6% in March, faring worse than expected

SINGAPORE — The Republic’s non-oil domestic exports (NODX) slid back into contraction in March, performing worse than economists’ expectations due to a contraction in both electronic and non-electronic exports.

NODX fell 15.6 per cent last month compared to a year ago, reversing from the revised 2.0 per cent expansion in February, trade agency International Enterprise Singapore said on Monday (April 18). Economists in a Reuters poll had expected a 13.2 per cent fall.
...
http://www.todayonline.com/singapore/sin...e-expected

[BlueKelah]

The uncertainties are still around...

Singapore's non-oil domestic exports fall 15.6% in March, faring worse than expected

SINGAPORE — The Republic’s non-oil domestic exports (NODX) slid back into contraction in March, performing worse than economists’ expectations due to a contraction in both electronic and non-electronic exports.

NODX fell 15.6 per cent last month compared to a year ago, reversing from the revised 2.0 per cent expansion in February, trade agency International Enterprise Singapore said on Monday (April 18). Economists in a Reuters poll had expected a 13.2 per cent fall.
...
http://www.todayonline.com/singapore/sin...e-expected

Gov sees the numbers lah, thats why a preliminary currency devaluation last week.

Singapore is a good barometer of global economy, recession is likely coming, hopefully construction from gov infrastructure spend can cushion the blow.

[TTTI]

The uncertainties are still around...

Singapore's non-oil domestic exports fall 15.6% in March, faring worse than expected

SINGAPORE — The Republic’s non-oil domestic exports (NODX) slid back into contraction in March, performing worse than economists’ expectations due to a contraction in both electronic and non-electronic exports.

NODX fell 15.6 per cent last month compared to a year ago, reversing from the revised 2.0 per cent expansion in February, trade agency International Enterprise Singapore said on Monday (April 18). Economists in a Reuters poll had expected a 13.2 per cent fall.
...
http://www.todayonline.com/singapore/sin...e-expected

Gov sees the numbers lah, thats why a preliminary currency devaluation last week.

Singapore is a good barometer of global economy, recession is likely coming, hopefully construction from gov infrastructure spend can cushion the blow.

We are due for a recession soon, which is fine
It happens once every 4-7yrs.
But what if it becomes a full blown depression instead?
There is no precedent for what happens if everyone starts printing money
Whenever the economy is weak, the central banks print money, the economy improves, rich get richer as it benefits them asymmetrically

But what if the central bank's print money and the economy doesn't respond? Inflation remains low?
Then what next?
Some countries already have negative interest rates.

[BlueKelah]

The uncertainties are still around...

Singapore's non-oil domestic exports fall 15.6% in March, faring worse than expected

SINGAPORE — The Republic’s non-oil domestic exports (NODX) slid back into contraction in March, performing worse than economists’ expectations due to a contraction in both electronic and non-electronic exports.

NODX fell 15.6 per cent last month compared to a year ago, reversing from the revised 2.0 per cent expansion in February, trade agency International Enterprise Singapore said on Monday (April 18). Economists in a Reuters poll had expected a 13.2 per cent fall.
...
http://www.todayonline.com/singapore/sin...e-expected

Gov sees the numbers lah, thats why a preliminary currency devaluation last week.

Singapore is a good barometer of global economy, recession is likely coming, hopefully construction from gov infrastructure spend can cushion the blow.

We are due for a recession soon, which is fine
It happens once every 4-7yrs.
But what if it becomes a full blown depression instead?
There is no precedent for what happens if everyone starts printing money
Whenever the economy is weak, the central banks print money, the economy improves, rich get richer as it benefits them asymmetrically

But what if the central bank's print money and the economy doesn't respond? Inflation remains low?
Then what next?
Some countries already have negative interest rates.

ALready happening, weak inflation despite central bank stimulus from USA/Europe/Japan and now China too. Rich own hard assets which just go up whenever there is excess liquidity from the central banks coming into the system.

So have some hard assets, have some cash stashed away for expenses and some cash ready to pounce when the markets crash. Simple really.

Oh and dun forget to have some cash stashed away for that shiny new car when COE crashes below $10000 again

[Yoyo]

Oh and dun forget to have some cash stashed away for that shiny new car when COE crashes below $10000 again

I highly doubt this will happen in the near future.  Not with
Uber submits 800 COE bids, changes the game for cars
http://www.straitstimes.com/singapore/tr...e-for-cars

Just over three years ago, the Transport Ministry removed taxis from the certificate of entitlement (COE) bidding process to take some heat off car bidders.  Now, three years after third-party taxi app provider Uber arrived, the heat is back on.  During last week's COE tender, Uber-owned Lion City Rental submitted more than 800 bids, which accounted for 11 per cent of the total bids made for car COEs.

According to market talk, Lion City is looking to put 1,800 new cars on the road in anticipation of growing demand.
Rival company Grab is also expected to do the same.  The two already have between them some 10,000 cars - mostly old vehicles.  But in recent months, both have started sourcing for new vehicles, and are jostling with private car owners for fresh COEs.

Now, with the Government announcing "light touch" regulations governing third-party taxi apps, the proliferation of private-hire vehicles will accelerate.  Most of the taxi companies are also starting up private-hire subsidiaries to compete with Uber, Grab and other small players like Smove and Tribecar.  This will only intensify the competition for COEs, which explains why car premiums have not fallen in tandem with the growth in supply.

IMO, in bad times, more will end up as taxi drivers, further increasing the demand for COE.  COE price will not come down significantly till these new entrants had their demand filled.  So for now, can only dream on.

[TTTI]

Oh and dun forget to have some cash stashed away for that shiny new car when COE crashes below $10000 again

I highly doubt this will happen in the near future.  Not with
Uber submits 800 COE bids, changes the game for cars
http://www.straitstimes.com/singapore/tr...e-for-cars

Just over three years ago, the Transport Ministry removed taxis from the certificate of entitlement (COE) bidding process to take some heat off car bidders.  Now, three years after third-party taxi app provider Uber arrived, the heat is back on.  During last week's COE tender, Uber-owned Lion City Rental submitted more than 800 bids, which accounted for 11 per cent of the total bids made for car COEs.

According to market talk, Lion City is looking to put 1,800 new cars on the road in anticipation of growing demand.
Rival company Grab is also expected to do the same.  The two already have between them some 10,000 cars - mostly old vehicles.  But in recent months, both have started sourcing for new vehicles, and are jostling with private car owners for fresh COEs.

Now, with the Government announcing "light touch" regulations governing third-party taxi apps, the proliferation of private-hire vehicles will accelerate.  Most of the taxi companies are also starting up private-hire subsidiaries to compete with Uber, Grab and other small players like Smove and Tribecar.  This will only intensify the competition for COEs, which explains why car premiums have not fallen in tandem with the growth in supply.

IMO, in bad times, more will end up as taxi drivers, further increasing the demand for COE.  COE price will not come down significantly till these new entrants had their demand filled.  So for now, can only dream on.

Hmmm
Doesn't Uber hire people with their own cars?
Why does Uber need to bid for COEs?

[BlueKelah]

I think yo-yo meant the lion city submit the bid, and it's owned by uber.

Well demand for taxi is finite, there are only so many passenger support so many cars. During recession it's more likely ppl use less taxi and more bus and MRT. Even more drivers also no use, demand not there..

So excess capacity will have to be consolidated. In which case there may be no need for new coe as taxi company will be closing down or reducing their fleet and many new second hand car with coe will be flooding the market.

Coe has its own cycle as well so I believe recession will definitely drop the coe to below 10k again

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