The business climate gauge for the manufacturing sector fell last month, ending two consecutive months of rebounding sentiment, indicating that the continuing global economic uncertainties have led to lower-than-expected seasonal demand for local manufacturers, a Taipei-based think tank said yesterday.
The latest survey, conducted by the Taiwan Institute of Economic Research (TIER, 台灣經濟研究院), showed the business climate gauge for the manufacturing sector had dropped to 90.29 points last month, from a revised 90.42 points in August, posting the first decline for the third quarter.
In the survey, 19.6 percent of the manufacturers polled said they were optimistic about business confidence last month, down from 24.9 percent in the August survey, while 44 percent of respondents said that they were pessimistic, compared with 35.6 percent in August.
“Despite exports last month showing annual growth, most of the momentum came from few specific industries, like the petrochemical and electronic sectors,” Gordon Sun (孫明德), director of the institute’s macroeconomic forecasting center, said by telephone yesterday.
Sun said most manufacturers in Taiwan still saw orders slide last month compared with July and August, with seasonal demand weaker than had been forecast.
Asked about business prospects for the next six months, 13.4 percent of respondents felt bullish, down from 23.4 percent in the August survey, while those who felt bearish stood at 34.6 percent last month, up from the 33.1 percent found in August, reflecting the ongoing impact from global economic woes could last through to the first quarter of next year, Sun added.
However, a separate survey conducted by the institute showed that business climate gauge in the service sector rebounded last month and may continue to recover in the near future, with the coming of the year-end sales season.
The service sector gauge rose from 88.16 points in August to 88.76 points last month, mainly due to the relatively strong performance of the stock market, the institute said.
Softbank Group Corp plans to keep a stake in the chip designer Arm Ltd, even if it sells a partial interest to Nvidia Corp, the Nikkei reported. The companies are negotiating terms, the newspaper reported, citing sources. Softbank might take a stake in Nvidia after it buys Arm, the report said. Nvidia and Arm might also merge through a share swap, and Softbank would become a major shareholder in the combined company, it said. The two parties aim to reach a deal in the next few weeks, the sources said, asking not to be identified because the information is private. Nvidia is the
END TO SPECULATION: The hotel’s management contract has been extended, despite reports that it wanted to end its alliance with Hyatt Hotels over a deal with Riant Capital Singapore-based Hong Leong Hotel Development Ltd (豐隆大飯店股份) yesterday said it has extended a management contract to ensure the continued presence of the Grand Hyatt brand in Taipei, ending rumors that the two sides were parting ways. “We are pleased Hyatt is able to come to terms on the extension of the management contract of Grand Hyatt Taipei,” said Kwek Leng Beng (郭令明), executive chairman of City Developments Ltd (城市發展) and Millennium & Copthorne Hotels Ltd (千禧國敦酒店). Hong Leong Hotel Development is a subsidiary of Millennium, and both fall under the Hong Leong Group (豐隆集團). The Grand Hyatt Taipei (台北君悅大飯店), owned and built by
Gold surged to a fresh record on Friday, fueled by US dollar weakness and low interest rates, while silver headed for its best month since 1979. Spot bullion is up more than 10 percent this month, as US real yields lingered near record lows. While the ferocity of rallies in gold and silver cooled in the middle of the week, most market watchers predict there might be more gains ahead. Both metals have added about 30 percent this year, with gold and silver exchange-traded funds boosting holdings to a record, as concern about the fallout from the COVID-19 pandemic fuels demand for
MOVING FROM CHINA? The article did not name the company, but Foxconn, Wistron and Pegatron were among firms chosen for a production-linked incentive plan in India An Apple Inc vendor is looking at shifting six production lines to India from China, which could result in US$5 billion of iPhone exports from the South Asian nation, the Times of India reported, citing people familiar with the matter who it did not identify. The establishment of the facility would create about 55,000 jobs over about a year, the newspaper reported, not naming the Apple vendor. It would also cater to the domestic market and expand operations to include tablets and laptops, the newspaper reported. Samsung Electronics Co and Apple’s assembly partners are among 22 companies that have pledged 110 billion