SG Morning Highlights | Economists barely change 2023 forecasts for Singapore's growth, inflation: survey

Advancers / Decliners is 80 to 36, with 111.01 million securities worth S$74.34 million changing hands.

The US dollar scaled multi-month highs against most other major currencies on Wednesday (Mar 8), after Federal Reserve (Fed) chair Jerome Powell warned that US interest rates might need to go up even faster and higher than expected to rein in stubborn inflation.

Higher rates benefit the US dollar by improving its yield and as traders look for safety while global stock markets drop.

The US dollar hit a two-month high against the euro of US$1.0524, extending Tuesday's 1.2 per cent jump. Sterling, the Swedish krona and Norwegian krone, the Chinese yuan and the Canadian, Australian and New Zealand dollars all struck multi-month lows.

Even as he acknowledged cost pressures faced by households and companies, Finance Minister Lawrence Wong reiterated the importance of growth "as a means of advancing the well-being of everyone in Singapore", at a post-Budget roundtable organised by The Straits Times (ST) and The Business Times.

"Growth remains paramount, because if we do not grow the economy, and we have a shrinking pie, things will be much more difficult for Singapore," said Wong, who is also Deputy Prime Minister.

UOB was the presenting sponsor for the roundtable, held as the Budget and Committee of Supply debates drew to a close on Monday (Mar 6). The hour-­long session covered a range of topics such as housing prices and concerns about the soaring costs of doing business.

The certificate of entitlement (COE) price for commercial vehicles hit an all-time high in the tender exercise that closed on Wednesday (Mar 8).

At S$91,101, the premium for commercial vehicle COE – applicable for vans, trucks and lorries – was 3.8 per cent higher than the S$87,790 posted a fortnight ago.

This is the third time that the price for such COEs have set records so far in 2023. It is now more expensive than the COEs used for smaller cars.

Private-sector economists barely changed their overall 2023 estimates for Singapore in a quarterly survey on Wednesday (Mar 8), with a full-year growth forecast of 1.9 per cent, up marginally from 1.8 per cent in the previous survey.

Their core inflation forecast edged up to 4.1 per cent from 4 per cent before, while their headline inflation forecast slipped to 5 per cent, from 5.2 per cent before.

The survey, published by the Monetary Authority of Singapore (MAS), was sent to 26 professional forecasters on Feb 13. It garnered 21 responses, reflecting their views and not MAS'.

This comes after the Swiss group, which is a substantial shareholder of Sabana Reit, received valid acceptances amounting to over 177.2 million units or 16.2 per cent of the real estate investment trust as at 6pm on Wednesday (Mar 8).

Together with valid acceptances of the offer, the total number of shares owned, controlled or agreed to be acquired by the offerer and its concert parties represent a total of 236.7 million units or 21.6 per cent of the Reit.

As at 6 pm on Wednesday (Mar 8), valid acceptances of the offer amounting to 30.36 per cent of Global Dragon's share capital were attained.

Among the valid acceptances of the offer, 37.5 million shares amounting to 5.49 per cent of the company were held by shareholders other than the offeror's concert parties.