Economy

Philippine economy grows at fastest pace in over three decades, but COVID clouds outlook – Financial Post

Published

3 years ago

August 9, 2021

MANILA — The Philippine economy exited a pandemic-induced recession with its fastest year-on-year growth in over three decades, but tighter COVID-19 curbs could hamper the recovery and boost expectations monetary policy will remain accommodative for the rest of 2021.

Gross domestic product (GDP) rose 11.8% in the June quarter from a COVID-driven slump a year earlier, posting the biggest year-on-year expansion since the fourth quarter of 1988, as domestic demand improved, the statistics agency said on Tuesday.

The economy returned to year-on-year growth after five consecutive quarters of contraction.

Economists in a Reuters poll had expected the economy to expand 10% year-on-year in the second quarter, after contracting a record 17% in the same period last year and shrinking a revised 3.9% year-on-year in the first three months of 2021.

The figures come ahead of the Bangko Sentral ng Pilipinas’ (BSP) policy review on Thursday, where it is widely expected to keep the policy rate at a record low of 2.0%.

“The robust performance is driven by more than just base effects. It is the result of a better balance between addressing COVID-19 and the need to restore jobs and incomes of the people,” said Socioeconomic Planning Secretary Karl Chua.

The economy, however, contracted a seasonally adjusted 1.3% in the April-June period, after growing 0.3% in the previous quarter.

Household consumption grew 7.2% year-on-year, after four straight quarters of decline, but government spending contracted 4.9% after a 16.1% rise in the March quarter.

The industrial and services sectors grew 20.8% and 9.6%, respectively, while agriculture, forestry, and fishing shrank 0.1% percent.

But there are growing concerns that the nascent recovery could be derailed as the government has tightened coronavirus restrictions to contain the spread of the highly infectious Delta COVID-19 variant.

BSP Governor Benjamin Diokno on Monday reiterated the BSP’s resolve to maintain its accommodative monetary policy for as long as needed to ensure a sustainable recovery.

The economy should grow 8.2% in the second half of the year to hit the low end of the government’s full-year growth target of 6.0%-7.0%, said Philippine Statistics Authority chief Dennis Mapa.

(Writing by Enrico Dela Cruz; Editing by Ana Nicolaci da Costa)

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Economy

S&P/TSX composite gains almost 100 points, U.S. stock markets also higher

Published

13 hours ago

September 13, 2024

Anne Joseph

TORONTO – Strength in the base metal and technology sectors helped Canada’s main stock index gain almost 100 points on Friday, while U.S. stock markets also climbed higher.

The S&P/TSX composite index closed up 93.51 points at 23,568.65.

In New York, the Dow Jones industrial average was up 297.01 points at 41,393.78. The S&P 500 index was up 30.26 points at 5,626.02, while the Nasdaq composite was up 114.30 points at 17,683.98.

The Canadian dollar traded for 73.61 cents US compared with 73.58 cents US on Thursday.

The October crude oil contract was down 32 cents at US$68.65 per barrel and the October natural gas contract was down five cents at US$2.31 per mmBTU.

The December gold contract was up US$30.10 at US$2,610.70 an ounce and the December copper contract was up four cents US$4.24 a pound.

This report by The Canadian Press was first published Sept. 13, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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Economy

Statistics Canada reports wholesale sales higher in July

Published

20 hours ago

September 13, 2024

Anne Joseph

OTTAWA – Statistics Canada says wholesale sales, excluding petroleum, petroleum products, and other hydrocarbons and excluding oilseed and grain, rose 0.4 per cent to $82.7 billion in July.

The increase came as sales in the miscellaneous subsector gained three per cent to reach $10.5 billion in July, helped by strength in the agriculture supplies industry group, which rose 9.2 per cent.

The food, beverage and tobacco subsector added 1.7 per cent to total $15 billion in July.

The personal and household goods subsector fell 2.5 per cent to $12.1 billion.

In volume terms, overall wholesale sales rose 0.5 per cent in July.

Statistics Canada started including oilseed and grain as well as the petroleum and petroleum products subsector as part of wholesale trade last year, but is excluding the data from monthly analysis until there is enough historical data.

This report by The Canadian Press was first published Sept. 13, 2024.

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Economy

S&P/TSX composite up more than 150 points, U.S. stock markets mixed

Published

2 days ago

September 12, 2024

Anne Joseph

TORONTO – Canada’s main stock index was up more than 150 points in late-morning trading, helped by strength in the base metal and energy sectors, while U.S. stock markets were mixed.

The S&P/TSX composite index was up 172.18 points at 23,383.35.

In New York, the Dow Jones industrial average was down 34.99 points at 40,826.72. The S&P 500 index was up 10.56 points at 5,564.69, while the Nasdaq composite was up 74.84 points at 17,470.37.

The Canadian dollar traded for 73.55 cents US compared with 73.59 cents US on Wednesday.

The October crude oil contract was up $2.00 at US$69.31 per barrel and the October natural gas contract was up five cents at US$2.32 per mmBTU.

The December gold contract was up US$40.00 at US$2,582.40 an ounce and the December copper contract was up six cents at US$4.20 a pound.

This report by The Canadian Press was first published Sept. 12, 2024.

Companies in this story: (TSX:GSPTSE, TSX:CADUSD)

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