Some stunning numbers from the Japanese trade balance for October:
October trade balance Y -1090.7bn
- expected Y -854.2bn, prior was Y -934.3bn (revised from 932.1bn)
October trade balance adjusted: Y -1072.5bn
- expected Y – 875.5bn, prior was Y -1128.0bn (revised from Y -1091.3bn)
Export: +18.6% y/y (fastest growth since July 2010)
- expected is +16.2% y/y, prior was +11.5% y/y
Imports +26.1% y/y (biggest growth since May 2010)
- expected is +19.0%, prior was ++16.5% y/y
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The FT make some notable points:
- Japan’s trade deficit last month was nearly double in size from one year earlier
- Imports of mineral fuels, chiefly petroleum, have risen 46 per cent from a year ago and accounted for nearly one-third of Japanese imports last month
- By country, the US is the largest source of demand for Japanese exports (exports to the US totalled Y1.16tn last month, up 26.4% from a year earlier)
- Trailed closely by China (Exports to China totalled Y1.15tn, up only 14.9%)
- Japan had a Y546bn trade balance with the US, whereas it has a Y506bn trade deficit with China
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If Japan can manage to get their nuclear reactors restarted, thus reducing oil-product related imports, their trade balance will head rapidly back in black (Hey- that’d be a good name for an album :-D)
