April Trade Balance data for Australia comes in at a surprise deficit
- expected is +510m
- prior was +902m (revised from +731m)
- Exports are down, in at -1% (sa) m/m for April
- Imports up, in at +2% m/m (sa)
–
AUD dipped a little, off around 10+ points as I type
–
Wespac’s “Key take outs” from the data:
- Import volumes rebounded in the month, following a run of weakness. A lift in imports near-term is to be expected given the recent sharp rundown of inventories.
- Export prices weakened in the month, with prices for coal, iron ore, gold and rural goods all moving lower.
- The starting position for Q2 suggest a further decline in the terms of trade, a negative for national income growth, and a less favourable net export position than in Q1.
