Brace for yet another uninspiring NODX print, analysts warn

A significant recovery is not on the cards.

Singapore’s non-oil domestic exports figure (NODX) is set to be released tomorrow, but analysts warn that another uninspiring print is on the cards.

DBS noted in a report that while the headline number is expected to register a 4.7% year-on-year increase, the increase will be due to a low base last year.

“The possible lapsing of some of the earlier one-off factors could post downside risk on the sequential numbers. However, there have been blips of a bottoming out and potentially a turnaround in global business cycle. Recent PMIs of key markets are on the mend. Hope will be pinned on a gradual improvement in global demand, henceforth providing the much needed jab in the arm on the external front,” said DBS.

Meanwhile, BMI Research said that NODX growth will remain muted as internal restructuring and external demand dynamics continue to take their toll.

“Competitiveness woes as well as mixed external demand dynamics will likely prevent a significant recovery in non-oil domestic exports as the government continues to implement its economic restructuring programme,” said BMI.