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Taiwan Business Indicators in April 2016

Press Release

National Development Council (NDC)

May 27, 2016

In April 2016, the Taiwan Business Indicators showed the economic recovery to remain on the slower track. Among the indicators compiled by the National Development Council (NDC), the trend-adjusted leading index decreased by 0.25%, the trend-adjusted coincident index decreased by 0.05% from the previous month, and the overall monitoring indicator flashed the "yellow-blue" signal.

  1. The Monitoring Indicators: The total score in March 2016 was adjusted upward by one point to 16, following the revision of the TIER manufacturing sector composite indicator, and the overall monitoring indicator flashed the “blue". The total score in April 2016 increased by one point to 17, flashing the “yellow-blue” signal for the first month. Among the nine components, the imports of machineries and electrical equipments gained one point to change its individual light from “yellow-blue” to “green”. The light signal for the rest of eight components remained unchanged.
  2. Leading Indicators: With revised data, the trend-adjusted leading index stood at 97.72, down by 0.25% from March 2016. Among the seven indicators making up the trend-adjusted index, the TIER manufacturing sector composite indicator, SEMI book-to-bill ratio, TAIEX average closing price, and net accession rate of employees on payrolls of industry and services had positive cyclical movements from the previous month, while the index of export orders, building permits, and real monetary aggregates M1B had negative cyclical movements.
  3. Coincident Indicators: With revised data, the trend-adjusted coincident index stood at 98.26, down by 0.05% from March 2016. Among the seven indicators making up the trend-adjusted index, electric power consumption, and the industrial production index had positive cyclical movements from the previous month, while real machineries and electrical equipments imports, sales of trade and food services, nonagricultural employment, the index of producer’s shipment for manufacturing, and real customs-cleared exports had negative cyclical movements.
  4. Lagging Indicators: With revised data, the trend-adjusted lagging index stood at 98.40, down by 0.33% from March 2016. Among the six indicators making up the trend-adjusted index, the manufacturing unit output labor cost index had positive cyclical movement from the previous month, while the unemployment rate (inverted), the inventories to sales ratio for manufacturing, loans and investments of monetary financial institutions, regular employees on payrolls in industry and services, and the interbank overnight call-loan rate had negative cyclical movements.

 

~~ The next release is scheduled for June 27 2016 ~~

 

 


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