Taiwan Business Indicators in July 2010
Council for Economic Planning and Development
August 27, 2010
In July 2010, Taiwan Business Indicators indicated that economy continued its mild 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 3.1 points, the trend-adjusted coincident index rose by 0.5% from the previous month, and the overall monitoring indicator flashed the "red" signal.
1. Leading Indicators: With revised data, the composite leading index stood at 117.6, down by 0.2% from Jun. Its annualized six-month rate of change declined by 3.1 points to 7.0%. Among the seven indicators making up the trend-adjusted index, index of producer's inventory for manufacturing, index of export orders, real monetary aggregates M1B, building permits, stock price index, and SEMI book-to-bill ratio had negative cyclical movements from previous month. Average monthly overtime in industry and services had positive cyclical movement from previous month.
2. Coincident Indicators: With revised data, the coincident index stood at 124.0, up by 1.0% from June. Its trend-adjusted index rose by 0.5% to 110.3, increasing for the seventeenth consecutive month. Among the seven indicators making up the trend-adjusted index, the nonagricultural employment, sales index of wholesale, retail, and food services, real customs-cleared exports, electric power consumption, and real imports of machineries and electrical equipments had positive cyclical movements from previous month. The industrial production index and the index of producer’s shipment for manufacturing had negative cyclical movements from previous month.
3. Lagging Indicators: With revised data, the lagging index stood at 118.5, up by 2.6% from June. Its trend-adjusted index rose by 2.0% to 105.3, increasing for the tenth consecutive month. All the six indicators making up the trend-adjusted index had positive cyclical movements from previous month.
4. The Monitoring Indicators: The total score increased 1 point to 38, changing the overall light signal from "yellow-red" to "red". Among the nine components, nonagricultural employment gained one point and changed its individual light signal from "yellow-red" to "red". The light signals for the rest of eight components remained unchanged.
~~ The next release is scheduled for September 27, 2010 ~~