These 2 uncertainties could hamper Singapore's non-oil trade recovery

Performance improvement could easily be undone.

CIMB warns that "while Singapore’s improving non-oil trade is a reflection of improving regional and global demand, uncertainties remain, including those associated with a recurrence of the US government fiscal impasse and the
uneven pace of recovery in other OECD countries."

Non-oil trade grew 4.2% yoy in 3Q13, following a 1.7% rise in the preceding quarter due to what CIMB views as resilient regional demand and a nascent rebound in Singapore's domestic demand.

CIMB further notes that year-end festive spending, if robust, could boost the recovery of Singapore’s external-oriented sectors.

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