Singapore local business sentiment continues to moderate

Data from the Singapore Commercial Credit Bureau (SCCB) showed the country's quarterly Business Optimism Index fell to +4.98 percentage points for the fourth quarter of 2022 from +5.1 percentage points in the previous quarter. Five of six indicators – volume of sales, net profit, selling prices, new orders, inventory levels and employment – remained expansionary for the latest quarter. Local business sentiment continued to decline for the third consecutive quarter as the outlook for services and wholesale sectors deteriorated slightly in the fourth quarter of 2022. SCCB noted that sentiments within the transportation, financial, manufacturing, and construction sectors remain relatively upbeat with all six indicators for each sector in positive territory. Outlook for the services sector, however, moderated further as only five of six indicators were in positive territory, with inventory levels remaining in the negative zone.