Monday July 21, 2008

Singapore retail sales growth slows as inflation hurts spending

This article belongs to the Singapore stagflation watch story arc.

bloomberg.com :

Singapore's retail sales growth slowed in May 2008 as consumers bought fewer cars and spent less on furniture amid the fastest inflation in 26 years, spurred by surging commodity and energy costs. The retail sales index gained 4.8% from a year earlier, after climbing 7.5% in April, the Statistics Department said today [15 Jul 2008]. Faster inflation has left consumers with less to spend, hurting an economy that expanded at the slowest pace in five years in the second quarter. Vehicle sales in May declined 1.9% from the same month in 2007. From April, auto sales dropped 3.4%. Oil prices have doubled in the past year, reaching a record $147.27 per barrel on July 11. Prices of grains such as rice and wheat have also hit records, increasing costs for consumers.

- Notice how they are once again commenting on the second order here, when they talk about the rate of retail sales growth slowing from 7.5% in Apr to 4.8% in May, year-on-year. The figures are starting to turn toward negative territory. Now the question that remains is not whether we are heading into a stagflationary recession, but how long we will remain there, and what we can do about it.

See also :

1. Singapore industrial production unexpectedly dropped in Apr 2008 on drugs, electronics
2. Singapore stagflation : May 2008 exports fell most in 17 months; inflation at 26-year highs
3. Singapore GDP shrinks 6.6% in Q2 2008 as stagflation continues

(2008-07-21 17:09:15 SGT) [Biz] Permalink

Most popular blog postings on lowem.log :

1. Singapore MRT rail network length to double by 2020
2. 2010 Nissan Leaf electric car specifications : 107hp, 24KWh lithium-ion batteries, 100-mile range
3. Live spot gold price quotes chart on COMEX
4. 2010 Toyota Prius specifications released : 50 mpg, 1.8L, 134hp, Ni-MH, solar roof option
5. AVG Anti-Virus Free Edition 2011 direct download link
6. Real-time live gold and silver price quotes chart on COMEX
7. Singapore electric vehicles : Government agencies EMA and LTA to study EV introduction
8. Book review : Shut Down by William Flynn

Featured articles on lowem.log :

1. Book review : Shut Down by William Flynn
2. Singapore electric cars testing starts with 9 electric vehicles
3. Honda, GS Yuasa JV to make lithium-ion batteries for 2010/2011 Honda Civic Hybrid
4. 2010 Honda Civic Hybrid preliminary specifications released
5. 2010 Honda CR-Z hybrid, 2010 Honda Fit/Jazz hybrid models confirmed
6. 2010 Toyota Prius specifications released : 50 mpg, 1.8L, 134hp, Ni-MH, solar roof option
7. NYMEX crude oil recovers from $32.40 low after 2.2 mbpd OPEC production cut announced
8. Singapore : Nuclear power not ruled out