The merry mix of economic indicators in December

SO far, December has been a month of mixed messages in terms of economic indicators here in the Philippines. While the seemingly contradictory data might be taken as a sign of a weakening economy, we believe that a closer look shows there are positive portents for the beginning of the new year.

On the negative side, there is a somewhat wider trade deficit for the month of October (with official data due out today, Tuesday), a peso that has weakened slightly after earlier gaining strength, signs of slower credit growth, and less business and consumer optimism for this quarter and next.