Factory activity plunges to record low – As a Trader we see opportunity in adversity.
FACTORY ACTIVITY slumped to a record low in March, snapping a 43-month growth streak, as the Luzon-wide lockdown due to the coronavirus disease 2019 (COVID-19) pandemic brought factories to a halt.
In a statement on Wednesday, IHS Markit reported that the Philippines Manufacturing Purchasing Managers’ Index (PMI) decelerated to 39.7 last month from the 13-month high of 52.3 in February, signaling a “marked deterioration in operating conditions.”
March was the first time the Philippines’ manufacturing PMI slumped below the 50 neutral mark, breaking its streak of steady growth since August 2016 when the survey for the Philippine leg started. READ MORE
BSP outlines additional relief measures for banks – What is this headline saying?
THE CENTRAL BANK is giving additional regulatory to financial institutions, including the imposition of a higher single borrower’s limit (SBL), removing penalties for reserve deficiencies, and providing leeway for some notification requirements amid disruptions caused by the coronavirus disease 2019 (COVID-19).
“The measures ease certain BSP (Bangko Sentral ng Pilipinas) regulatory requirements governing banking operations for the duration of the enhanced community quarantine and one month thereafter,” BSP Deputy Governor Chuchi G. Fonacier said in a memorandum signed on March 19.
“The period of eligibility may be extended depending on the developments related to the COVID-19 situation,” she added. READ MORE
PHL may go into recession — Diokno (What is coming to your Mind?)
THE Philippine economy could go into recession this year, central bank Governor Benjamin E. Diokno said on Sunday, as the coronavirus pandemic brings everything to a standstill.
“We’re looking at negative to maybe 1% [growth] given this development,” he told the ABS-CBN News Channel.
The global economy has now entered a recession — a period of economic decline where output falls for two successive quarters — that could be as bad or worse than the 2009 downturn, International Monetary Fund (IMF) Managing Director Kristalina Georgieva said on Friday. READ MORE
- When there are adversity there are always great opportunities – look at the valuation and buy them when good companies are cheap – it doesn’t matter if it gets cheaper – as you already have a good price.
- Always look at the books and cash-flow & Valuation
- Understand the companies Strategies – especially now with the Coronavirus scare around the world
- See how the Corporate Governance manage their companies and follow them if the strategies makes sense.
- There are lots more great companies besides what I have mentioned in this article
FINWAZE always look at Philippines as a Country full of huge potential – if only you know how to appreciate it.
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