Coronavirus Level To Be Lowered From Tuesday

Taiwan dollar is weaker in early trade, USD/TWD hurdled the 28.00 handle on Friday and has made further gains, last up 0.021 at 28.042.

• There were reports n the Commercial Times that the Taiwanese cabinet will propose a 2%-3% increase in spending to at a meeting tomorrow. According to the piece revenue is expected to grow 2.5%-3% on the year.
• Data released late on Friday was strong, industrial production rose 18.37% Y/Y,well above forecasts and above the top end of the forecast range. Mining and quarrying was a drag on the report but strong showings in producer goods offset the weakness.
• As a reminder Taiwan announced Friday will ease its COVID-19 restrictions this week, as declining case numbers give authorities confidence to further lower the coronavirus alert level. Premier Su Tseng-chang said the alert would be lowered to level 2 from the current level 3 on Tuesday. "The domestic epidemic has gradually stabilized and is heading towards a good direction," Su said. "Citizens should still strictly follow all pandemic prevention guidance to guard this hard-earned achievement after restrictions are relaxed."