Taiwanese economy likely to have expanded strongly in Q1 2018

The Taiwanese economic growth data for the first quarter is set to be released this week. According to a DBS Bank research report, the economy is likely to have expanded 3.5 percent year-on-year in the first quarter, slightly more rapid than the 3.3 percent in the fourth quarter of 2017.

On a sequential basis, the GDP growth is expected to have stayed strong at about 3 percent. Exports and machinery investment seemed stable in the March quarter, while construction investment bottomed out. Meanwhile, private consumption might have decelerated because of the rise in inflation and the deterioration in real household incomes.

“Our full-year GDP growth forecast of 2.8 percent is currently well on track. But we are cautious about the risk of a growth slowdown in 2Q, given the softening in leading indicators, peaking of the electronics cycle, cooling of the Chinese economy, and the rise in trade protectionism”, added DBS Bank.

FxWirePro launches Absolute Return Managed Program. For more details, visit http://www.fxwirepro.com/invest