News

Industrial production data for October will be another nail in the coffin on expectation of a technical recession in Singapore, according to DBS analysts. Firstly, we have pointed out even before the 3Q advance estimates that we do not expect a technical recession in 2H10. And last week’s October NODX figure dealt the first blow to all those recession talks. The headline export figure rose by a massive 34.5% (5.8% MoM sa) on account of turnaround in both electronics and pharmaceutical export sales. And what is required right now is an industrial output growth of more than 30% for the month, which will essentially bury all the recession talks. Specifically, a 33.3% YoY expansion has been penciled into our forecast as we expect both key electronics and the biomedical segments to deliver the goods. That will provide some much need growth juice to the overall manufacturing growth and drag the economy from the deep negative end of the growth spectrum back to the positive territory in the final quarter. We expect the economy to grow by about solid 11% QoQ saar in the fourth quarter, up from the record contraction of 18.7% in 3Q10. A turnaround in manufacturing growth will be the crucial tie breaker for that to happen.

Base effect and the pre-emptive monetary tightening by the central bank in April are reasons why inflation is expected to come in at 3.5% YoY, just a tad below the previous month’s reading of 3.7%.

Tenants worried as Grade A office rents shoot up 10/9 % in quarter, the most in Asia, making Singapore the fourth most expensive place in the region to set up shop.

Allows investors to respond earlier to developments outside European trading hours but affecting European equity markets.

With Singapore banks still trading at 1.4xFY11 P/BV, DBS says there is no reason to ignore them, and they are in fact are inexpensive relative to ASEAN peers. 

Although Singapore’s Q3 GDP growth slowed to 10.6% y-o-y and contracted by 18.7% q-o-q SAAR, the bank says the plunge was expected and should not be a cause for concern.

The latest all-property Fair Value Index revealed that while Singapore remains a hot market for investors, Hong Kong is not, moving from hot to cold in Q3.

With prices for Yishun Greenwalk units range from 20% cheaper for 5-room flats to 40% cheaper for the 3-room flats—as compared to HDB’s 3Q10 median resale prices for a Yishun—the real estate agency believes the BTO project will be a hit with first-timers and young couples.

Asian office rents up 3.2% in the third quarter, confirming the recovery of region’s office demand.

Offer attracts total applications amounting to more than S$1.8bln behind strong retail demand.

The cash flow from properties backing Singaporean CMBS has been strong, an ongoing trend thus far in 2010. Accordingly, there are no Moody’s rating implications on outstanding transactions.

The bank is keeping its 4-5% growth prediction for the economy even as it revised its 3Q GDP growth to 10.6% yoy (-18.7% qoq), versus advance estimate of 10.3% yoy (-19.8% qoq).

Output in September rose by a solid 26.2% YoY on account of the rebound in pharmaceutical production although the final 3Q10 GDP growth saw the economy contracted by 18.7% QoQ saar (10.6% YoY).

Branch to meet increasing demand for banking services as companies expand in Vietnam and across Asia.

Global investors’ shift of interest to Asian developing nations and India’s position to become the third largest economy by 2050 prompted the team-up.

Sales of motor vehicles continue to tumble as the industry posted a 17.4% y-o-y decline in September due to the short supply of certificates of entitlement.