Taiwan Business Indicators in December 2010
Council for Economic Planning and Development
January 27, 2011
In December 2010, Taiwan Business Indicators indicated that the economy continued its steady growth. Among the indicators compiled by the Cabinet’s Council for Economic Planning and Development (CEPD), the annualized six-month rate of change of leading index decreased 0.4 points, the trend-adjusted coincident index increased by 0.6% from the previous month, and the overall monitoring indicator flashed the "yellow-red" signal.
1. Leading Indicators: With revised data, the composite leading index stood at 121.8, up by 0.3% from November. Its annualized six-month rate of change declined by 0.4 points to 2.2%. Among the seven indicators making up the trend-adjusted index, SEMI book-to-bill ratio, index of producer's inventory for manufacturing, average monthly overtime in industry and services, real monetary aggregates M1B, and index of export orders had negative cyclical movements from previous month. Stock price index and building permits had positive cyclical movement from previous month.
2. Coincident Indicators: With revised data, the coincident index stood at 130.6, up by 1.5% from November. Its trend-adjusted index increased by 0.6% to 106.8. Among the seven indicators making up the trend-adjusted index, the industrial production index, electric power consumption, nonagricultural employment, index of producer’s shipment for manufacturing and sales index of wholesale, retail and food services had positive cyclical movements from previous month. The real customs-cleared exports, real imports of machineries and electrical equipments had negative cyclical movements from previous month.
3. Lagging Indicators: With revised data, the lagging index stood at 128.8, up by 1.4% from November. Its trend-adjusted index rose by 0.5% to 105.4, increasing for the fifteenth consecutive month. Except for the inventories to sales ratio for manufacturing and manufacturing unit output labor cost index, other indicators making up the trend-adjusted index had positive cyclical movements from previous month.
4. The Monitoring Indicators: The total score in December increased 1 point to 33. The overall light signal flashed the "yellow-red" signal for the fourth consecutive month. Among the nine components, stock price and imports of machineries, electrical equipments each gained one point and changed their individual light signals from "green" to "yellow-red". Manufacturing sales lost one point and changed its individual light signal from "red" to "yellow-red". The light signals for the rest of six components remained unchanged.
~~ The next release is scheduled for March 1, 2011 ~~