Ticklish8 3rd Gear October 10, 2008 Share October 10, 2008 (edited) S'pore Q3 GDP contracts 0.5%, 2008 seen at 3% SINGAPORE - The economy shrank by 0.5 per cent in the third quarter of this year from the same period a year ago, resulting in the Ministry of Trade and Industry lowering its expectation on full year growth to 3 per cent. MTI made the announcement when it revealed the advance estimates for the quarter ending September on Friday. On a seasonally adjusted quarter-to-quarter annualised basis, real gross domestic product (GDP) dropped by 6.3 per cent in the third quarter after contracting 5.7 per cent in the previous quarter. With two consecutive quarters shrinking, economists say Singapore is now in a technical recession, the first in six years. The Ministry last revised downwards the GDP in August to 4.0-5.0 per cent, with growth expected to come in at the lower end of the range. Explaining the latest revision on the outlook for this year, MTI said, 'The worsening financial crisis in the US in recent weeks has deepened the credit crunch, making it more difficult for businesses to sustain economic activities.' 'With unemployment on the rise and house prices continuing to fall, US consumer sentiment has weakened further and will affect demand for exports from Asia and the rest of the world. Singapore's export-oriented sectors, such as manufacturing, will be affected.' Sectors The manufacturing sector continued to be weighted down by the negative growth in biomedical sciences, as pharmaceutical companies are still producing a mix of pharmaceutical ingredients with values lower than compared to a year ago. The precision engineering and chemical clusters also slowed, because of weaker external demand. The construction sector grew by 7.8 per cent in the third quarter, compared to the 18.3 per cent growth in the first half of 2008. 'Despite a strong pipeline of construction projects, a shortage of contractors, a tight labour market for engineers and project managers, and longer waiting times for equipment, have delayed the realisation of these projects.' MTI added in a press release that the financial services sector was likely to see slower growth in the coming months as the ongoing global financial crisis has heightened uncertainties for sentiment-sensitive segments such as stocks trading and fund management activities. The Republic's last technical recession was in 2002. -- BT ONLINE Edited October 10, 2008 by Ticklish8 ↡ Advertisement Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 Stock Market carnage today.... sigh Link to post Share on other sites More sharing options...
Damienic 5th Gear October 10, 2008 Share October 10, 2008 and I thot Mr Tharman reassures Singaporeans earlier this yr that Singapore won't be affected? Link to post Share on other sites More sharing options...
Mzrmazda3 6th Gear October 10, 2008 Share October 10, 2008 Jus saw from Channelnews Asia ... Link to post Share on other sites More sharing options...
Redplanet Clutched October 10, 2008 Share October 10, 2008 (edited) It was a honest mistake. Edited October 10, 2008 by Redplanet Link to post Share on other sites More sharing options...
N00b 4th Gear October 10, 2008 Share October 10, 2008 we will b in for some gd yrs Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 Golden years.... what a joke Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 And for those who think India n China can provide a shield to the global economy like what some Singapore minister said.... read this blog below from a trader.... http://elfinchilde.blogspot.com Because investing is about looking forwards, it is crucial now to look out for what to buy, what to avoid. Definitely, even if bottom has been reached (needs to be proven further technically), I would not, in any way, expect a swift recovery. This is talking longterm, so I'm excluding the rapid scalps along the way, as of course, there'll be plenty of opportunities for. So it is now to identify sectors that will rebound fastest and be resilient in a prolonged recession/recovery. Sector-wise, what I am bearish on: (ie, what i'd personally avoid for the next 6 mths) Commodities. --Especially the CPO plays, gold. Technically, crude is tipped to drop to 70-80 in the midterm. I'd expect CPOs to follow. Trend-wise, gold is on its last leg up too. It will take some time for the US to get back its appetite. And as the US is the biggest consumer in the world (the biggest country to which Asia/others export to), if the US is in a depression, naturally, the people buy less. So exports to the US slow. Hence, less need for producer countries to import raw materials (the commods). Thus, commods down. Same thing for gold: crucial to a US recovery is the strengthening of the USD. If the USD goes up, gold goes down. China--It is a fallacy that chinese domestic demand can make up for the slowdown in the US. When US slows down, china slows down. Olympics or not, China's growth has slowed. Besides, there is all the controversy over china-made products now. Tainted milk, fake eggs, luncheon meat, lead-coated toys, pyjamas etc. It's reasonable to say that China's factories and image have taken a hit. China's growth will slow: the drop of the Baltic Index of 70% from its peak already tells us this. (The Baltic Index essentially tracks freight of commodities shipped worldwide. Less freight => less commods being transported.). Note that china and the commods are linked plays: commods went up because everyone expected china's growth to increase phenomenally. But they forgot that China's main, final export is the US: When the glutton has keeled over, the chef stays idle in the kitchen. Will they recover? Sure. Nothing goes down forever. But their recovery is on one condition: that the US goes back up FIRST. Link to post Share on other sites More sharing options...
Kingcopa 1st Gear October 10, 2008 Share October 10, 2008 Somebody post this qns to the old man lah. "u say sg wont be affected by what is happening in US what. How come become like this now??????????" Link to post Share on other sites More sharing options...
Typhoonz 4th Gear October 10, 2008 Share October 10, 2008 Maybe he was refering to he and his family? Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 Even Warren Buffet got it wrong with his investment..... I dont think MM is better than Warren Buffet......... Goldman, GE warrants worthless as share prices drop [NEW YORK] Billionaire investor Warren Buffett Link to post Share on other sites More sharing options...
Madsumm 1st Gear October 10, 2008 Share October 10, 2008 Everyone will be affected. Including you and me.. and the old man. Put it simply, the fall of Dow yesterday to below 9k... effectively, it lost 900mil in a single day. The problem is simple. Has been repeatedly and globally... Its confidence issue. Banks have money, but they don't want to lend. Business with no monetary flow, will not be able to survive. Across the board, indices have dropped 7% or more. Nikkei 9.5%, Hang Seng 7.7%, STI, 7.3% If the banks hog their money, I'm sure they will devalue it so much that they have nothing to lend anymore. BTW, Iceland is technically, bankrupt.... Link to post Share on other sites More sharing options...
Hishercar Clutched October 10, 2008 Share October 10, 2008 the problem with these people they give people false confidences the sky is failing they got all the data infront of them US is trouble European is in a worse of position than US but not yet manifest itself China even is affected with the stock market dropping by 50-60% then how can you tell people that singapore is wont be affected what does singapore have that can shield herself from the world? Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 Someone should ask GIC and Temasek about their investment in US Bank/ Investment Bank If you ever play stock market... within 1 week 25-30 percent of the value can be wipeout. But to wait for the stock price to go up 5-10 percent... sometimes it take month....or even years.... I don't buy the long term argument.....and I hate analyst who says dollar cost averaging... Look at Chartered Semiconductor. At its peak it was selling $19.... I ever bought $15, $10, $7, even $5 (Lucky i cut all my loses) ...... now it is trading @ 26 cents..... There is no guarantee that the investment can return to the original price or even higher..... Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 I pity some of my friend who bought property this year... (to me they bought at the peak)...... One things about property, they have time lag of 6 month to the stock market, economic performance......so can see where they heading..... I hope Singapore not that silly to buy HDB silly iconic 50-storey Pinnacle@Duxton in Tanjong Pagar......at that price... ---------------------------------------------------------------------------- FOR sale: the most expensive flats ever released by the HDB. They are the remaining 111 five-room units at the iconic 50-storey Pinnacle@Duxton in Tanjong Pagar, which is due to be completed this year. Prices start at $545,000 and go up to an eye-popping $645,800 for a 49th storey unit, making them Singapore Link to post Share on other sites More sharing options...
Alcapone Neutral Newbie October 10, 2008 Share October 10, 2008 (edited) Maybe he was refering to he and his family? Good One Edited October 10, 2008 by Alcapone Link to post Share on other sites More sharing options...
Ticklish8 3rd Gear October 10, 2008 Author Share October 10, 2008 Iceland kroner later become like rupiah..... Link to post Share on other sites More sharing options...
Alcapone Neutral Newbie October 10, 2008 Share October 10, 2008 Somebody post this qns to the old man lah. "u say sg wont be affected by what is happening in US what. How come become like this now??????????" I think the Statistician forgot to include the prospering businesses in Geylang. ↡ Advertisement Link to post Share on other sites More sharing options...
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