Singapore: Coronavirus, US-China weighs on trade prospects – UOB
|UOB Group’s Economist Barnabas Gan assessed the latest trade data in Singapore.
Key Quotes
“Singapore’s non-oil domestic exports (NODX) fell 4.5% y/y in May 2020, as the decline in non-electronic exports outweighed the gains in electronic exports. On a month-on-month seasonally adjusted basis, NODX fell by a similar pace of 4.5%. Total trade continued to contract for the third straight month by 25.0% y/y.”
“The fall in NODX was led by a decline in non-electronic exports (-8.8% y/y), seen from petrochemicals (-31.2%), electrical machinery & apparatus (-28.8%) and chemicals (-18.4%). Pharmaceutical exports fell 7.0% y/y on the back of a high base year effect. Electronic exports (+12.5% y/y) was however supported by the growth in disk drives (+23.6% y/y) and integrated circuits (+22.5% y/y).”
“The uncertainty surrounding the length and severity of COVID-19, as well as the emergence of renewed US-China tensions continue to cloud Singapore’s trade prospects. We keep to our outlook for NODX to contract by 1.0% with downside risks should the COVID-19 pandemic becomes more severe and protracted.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.