Connect with us

Economic Indicators

Thailand’s economy likely grew modestly in Q1, stung by high inflation: Reuters poll

Published

on

4/4

© Reuters. FILE PHOTO: An empty hotel and beach which have opened for visitors is seen in Karon, Phuket Island, Thailand March 31, 2021. REUTERS/Jorge Silva

2/4

By Arsh Tushar Mogre

BENGALURU (Reuters) – Thailand’s economy likely grew modestly in the first quarter, thanks to robust exports and an easing of COVID-19 restrictions and despite low tourist arrivals and high inflation dampening consumer spending, a Reuters poll found.

Southeast Asia’s second-largest economy is estimated to have expanded 2.1% in the January-March period compared with the same period a year earlier, according to a May 6-13 poll of 15 economists. It showed annual growth of 1.9% in the previous quarter.

“We expect Thailand GDP to recover moderately in 1Q22, given a rebound in economic activities after COVID restrictions eased,” said Lalita Thienprasiddhi, senior researcher at Kasikorn Research Center.

“Tourism recovery and strong exports will be the main driving factors for the Thai economy in 1Q22,” she said.

First-quarter gross domestic product (GDP) was estimated to have been 0.9% higher than in the previous quarter, according to a smaller sample of forecasts. That would be half of the quarterly growth of 1.8% in the fourth quarter of 2021.

Estimates of the latest quarterly change ranged from a 0.8% contraction to 1.7% growth, highlighting the uncertainties surrounding the recovery of the economy from the pandemic.

The data is due to be released at 0130 GMT on May 17.

“A deceleration of GDP growth is expected due to impacts from the Russia-Ukraine conflict, a decline in consumer confidence with soaring inflation and a decline in household non-energy spending” said Phacharaphot Nuntramas, chief economist at Krung Thai Bank.

Inflation has remained above the Bank of Thailand’s upper limit of 3% so far this year and is expected to remain there until the end of the year, according to a separate Reuters poll.

The tourism-reliant economy is on track to receive just 6.1 million foreign visitors this year, falling short of an earlier projection of 7 million because of China’s travel restrictions and curtailment of Russian visits due to the war in Ukraine.

In 2019, before the coronavirus pandemic, Thailand received nearly 40 million visitors.

GDP for all of 2022 is expected to be 3.5% higher than a year earlier, according to another Reuters poll, in line with recently trimmed government projections and the IMF.

Economic Indicators

JPMorgan cuts U.S. GDP estimates for 2022 and 2023

Published

on


© Reuters. FILE PHOTO: Stacked containers are shown as ships unload their cargo at the Port of Los Angeles in Los Angeles, California, U.S. November 22, 2021. REUTERS/Mike Blake

(Reuters) – JPMorgan (NYSE:JPM) on Wednesday cut its expectation for U.S. real gross domestic product for the second half of 2022 and for 2023.

The firm’s economic and policy research department cut its second half view to 2.4% from 3% and cut its first half 2023 target to 1.5% from 2.1% and for the second half of 2023 it cut its view to 1% from 1.4%.

It said there may be enough of a growth slowdown to lead to a gradual increase in the unemployment rate later next year, helping to relieve some wage pressures that have been building.

“In short, we forecast a soft landing, but are well aware that this outcome has rarely (if ever) occurred,” according to the research led by economist Michael Feroli.

Continue Reading

Economic Indicators

Canada inflation creeps higher in April, economists warn more pinch to come

Published

on

2/2

© Reuters. FILE PHOTO: Tourists shop for souvenirs in Gastown as the pace of cruise ships arriving in Canadian ports picks up, two years after the industry was shuttered due to the COVID-19 pandemic, in Vancouver, British Columbia, Canada May 13, 2022. REUTERS/Jenn

2/2

By Julie Gordon

OTTAWA (Reuters) – Canada’s annual inflation rate rose faster than expected in April, official data showed on Wednesday, and analysts warned soaring used-car and gasoline prices could stoke the trend, raising pressure on the central bank to tighten policy quickly.

The headline annual inflation rate hit 6.8% in April, Statistics Canada data showed, slightly ahead of analyst forecasts that it would stay flat at 6.7%, instead edging closer to the 6.9% hit in January 1991. It was the 13th consecutive month above the Bank of Canada’s 1-3% control range.

Food and shelter prices surged at rates not seen since the early 1980s, while gasoline price gains slowed slightly from March. Excluding food and energy, inflation was up a still-hefty 4.6%.

“Inflation is spreading much more broadly, and at clear risk of getting firmly entrenched,” said Doug Porter, chief economist at BMO Economics. “Barring a deep dive in oil prices in coming weeks and months, we expect that the worst is yet to come.”

Graphic: Canadian inflation and interest rates – https://graphics.reuters.com/CANADA-ECONOMY/INFLATION/lgpdwekqdvo/chart.png

Porter, in a note, said May inflation could exceed 7%, the highest in nearly 40 years, citing record high gasoline prices in the month and changes to how Statistics Canada tracks the impact of used car prices.

Statscan will reshuffle its baskets with its May release and start using more accurate methods to track used-car prices, which have skyrocketed due to supply chain disruptions which, along with geopolitical conflict, are driving rapid price acceleration globally. This has forced central banks to tighten monetary policy more quickly than they had planned to.

“They have to make sure that it doesn’t morph into an inflationary spiral,” said Jimmy Jean, chief economist at Desjardins Group, of the Bank of Canada’s inflation challenge.

“So the way they’re going to be communicating the next steps will be critical here,” he added.

Last week, Bank of Canada deputy governor Toni Gravelle acknowledged the 1% policy rate was “too stimulative” and reiterated that rates, which were dropped to support the economy during the pandemic, need to be higher.

The central bank is widely expected to make a second 50-basis-point increase on June 1 and money markets are betting the policy rate will be around 3% by year-end.

But Canada’s high debt-to-income level and overheated property market mean the Bank will need to tighten with caution.

“It’s kind of a fine line,” said Darcy Briggs, a portfolio manager at Franklin Templeton Canada. “The trick is to try to get inflation down without creating a lot of havoc. But that’s easier said than done.”

The Canadian dollar was trading down about 0.2% at 1.2835 to the greenback, or 77.90 U.S. cents.

Continue Reading

Economic Indicators

Russian economic growth slows to 3.5% y/y in Q1 – Rosstat

Published

on


© Reuters. FILE PHOTO: A general view of city skyline and skyscrapers under construction during sunset as the spread of the coronavirus disease (COVID-19) continues in Moscow, Russia May 16, 2020. REUTERS/Maxim Shemetov

(Reuters) – The Russian economy expanded by 3.5% year-on-year in the first quarter of 2022 after growing 5% in the previous quarter, data from federal statistics service Rosstat showed on Wednesday.

The first quarter is expected to have been the last with sound growth before the Russian economy took a hit from sweeping sanctions for Moscow’s decision to send tens of thousands of troops into Ukraine on Feb. 24.

The economy ministry said this week it expected gross domestic product (GDP) to contract by 7.8% in 2022.

Continue Reading

News

Economy10 mins ago

Brazil’s govt will maintain GDP outlook for 2022 and 2023 -sources

© Reuters. FILE PHOTO: Consumers shop at a weekly street market in Rio de Janeiro, Brazil, September 2, 2021. REUTERS/Ricardo...

Cryptocurrency10 mins ago

Socios fan tokens rally 40%+ after Chiliz rolls out mainnet upgrade and token burn plan

Socios fan tokens rally 40%+ after Chiliz rolls out mainnet upgrade and token burn plan In times of high stress...

Economic Indicators10 mins ago

JPMorgan cuts U.S. GDP estimates for 2022 and 2023

© Reuters. FILE PHOTO: Stacked containers are shown as ships unload their cargo at the Port of Los Angeles in...

Stock Markets10 mins ago

Plotkin’s Melvin Capital to Wind Down – Report

© Reuters Plotkin’s Melvin Capital to Wind Down – Report Gabe Plotkin’s Melvin Capital Management, a hedge fund that lost...

Stock Markets10 mins ago

Chevron, Schlumberger withdraw request for California carbon-capture permit

2/2 © Reuters. FILE PHOTO: The logo of Chevron Corp is seen in its booth at Gastech, the world’s biggest...

Economy10 mins ago

Factbox-U.S. companies offering abortion travel benefits

© Reuters. Signage is seen at an Amazon facility in Staten Island, New York City, U.S., April 24, 2022. REUTERS/Andrew...

Sports & General10 mins ago

New York state opens probe of social media platforms used by Buffalo shooting suspect

2/2 © Reuters. FILE PHOTO: Members of the Buffalo Police department work at the scene of a shooting at a...

Stock Markets40 mins ago

Synopsys Shares Up 4% Following Q2 Beat, Upbeat Guidance

© Reuters. Synopsys Shares Up 4% Following Q2 Beat, Upbeat Guidance Synopsys (NASDAQ:SNPS) shares were trading more than 4% higher...

Stock Markets40 mins ago

Under Armour CEO Frisk Steps Down After 5 Tumultuous Years

© Reuters. Under Armour CEO Frisk Steps Down After 5 Tumultuous Years Under Armour, Inc. (NYSE:UA), announced that Patrik Frisk...

Coronavirus40 mins ago

Democrats warn abortion, voting rights at stake in Pennsylvania governor’s race

© Reuters. FILE PHOTO: Pennsylvania State Senator Doug Mastriano speaks at a protest against the state’s extended stay-at-home order to...

Cryptocurrency40 mins ago

Was Terra’s UST cataclysm the canary in the algorithmic stablecoin coal mine?

Was Terra’s UST cataclysm the canary in the algorithmic stablecoin coal mine? The past week has not been an easy...

World40 mins ago

Massachusetts identifies first 2022 U.S. case of monkeypox infection

2/2 © Reuters. An electron microscopic (EM) image shows mature, oval-shaped monkeypox virus particles as well as crescents and spherical...

Stock Markets41 mins ago

U.S. lodges labor complaint against Panasonic in Mexico

© Reuters. FILE PHOTO: A logo of Panasonic Corp is pictured at the CEATEC JAPAN 2017 (Combined Exhibition of Advanced...

Cryptocurrency1 hour ago

Meta trademark filing hints at plans for crypto payments platform

Meta trademark filing hints at plans for crypto payments platform Social media giant Facebook (NASDAQ:FB)’s parent company, Meta, may be...

Stock Markets1 hour ago

Cisco Shares Plunge 17% on Q3 Revenue Miss and Disappointing Outlook

Cisco Shares Plunge 17% on Q3 Revenue Miss and Disappointing Outlook Cisco Systems (NASDAQ:CSCO) shares dropped around 17% after-hours Wednesday...

Stock Markets1 hour ago

Cisco shares plunge after China lockdowns, Ukraine crisis hits outlook

© Reuters. FILE PHOTO: The Cisco Systems logo is seen as part of a display at the Microsoft Ignite technology...

Stock Markets1 hour ago

NASA set for Boeing’s Starliner uncrewed space capsule test

© Reuters. FILE PHOTO: The Atlas V rocket carrying Boeing’s CST-100 Starliner capsule is seen after the launch to the...

Stock Markets1 hour ago

Under Armour CEO Frisk to step down

© Reuters. FILE PHOTO: Under Armour clothing is seen for sale in a store in Manhattan, New York City, U.S.,...

World1 hour ago

Turkey’s Erdogan links Sweden, Finland NATO bid to return of ‘terrorists’

© Reuters. FILE PHOTO: Turkey’s President Tayyip Erdogan holds a news conference during the NATO summit at the Alliance’s headquarters...

Coronavirus1 hour ago

U.S. warns North Korea could greet Biden with nuclear, missile tests

© Reuters. FILE PHOTO: FILE PHOTO: North Korean leader Kim Jong Un walks next to what state media reports is...

Uncategorized2 hours ago

Wall Street ends sharply lower as Target and growth stocks sink

Stock Markets2 hours ago

Tesla cut from S&P 500 ESG Index, and Elon Musk tweets his fury

© Reuters. FILE PHOTO: The logo of car manufacturer Tesla is seen at a dealership in London, Britain, May 14,...

Stock Markets2 hours ago

U.S. stocks lower at close of trade; Dow Jones Industrial Average down 3.57%

© Reuters U.S. stocks lower at close of trade; Dow Jones Industrial Average down 3.57% Investing.com – U.S. stocks were...

Stock Markets2 hours ago

Cisco cuts results forecast on China lockdowns, Ukraine crisis; shares plunge

© Reuters. FILE PHOTO: The Cisco Systems logo is seen as part of a display at the Microsoft Ignite technology...

Economy2 hours ago

Stocks pummeled by growth worries, U.S. dollar climbs

2/2 © Reuters. A passerby wearing a protective face mask walks past an electric screen displaying a graph showing Japan’s...

Cryptocurrency2 hours ago

Price analysis 5/18: BTC, ETH, BNB, XRP, ADA, SOL, DOGE, DOT, AVAX, SHIB

Price analysis 5/18: BTC, ETH, BNB, XRP, ADA, SOL, DOGE, DOT, AVAX, SHIB On May 17, United States Federal Reserve...

Economy2 hours ago

Fed’s Harker: soft landing possible, not forecasting recession

© Reuters. FILE PHOTO: A worker weighs meat at a butcher shop at Reading Terminal Market after the inflation rate...

Stock Markets2 hours ago

Under Armour CEO to Step Down

© Reuters. By Yasin Ebrahim Investing.com — Under Armour said Wednesday Patrik Frisk would be stepping as chief executive on June...

Cryptocurrency2 hours ago

Early polling from Terra vote indicates 91% are in favor of ‘rebirth’

Early polling from Terra vote indicates 91% are in favor of ‘rebirth’ Terraform Labs CEO Do Kwon’s plan to create...

Stock Markets2 hours ago

Stock Market Today: Dow in Biggest Slump Since 2020 on Turmoil in Target, Tech

© Reuters By Yasin Ebrahim Investing.com — The Dow slumped Wednesday, as a selloff in tech and a plunge in Target’s...

Trending