by Chris Becker
The Australian Bureau of Statistics (ABS) just released November 2014s trade balance figures and its a surprise to the upside (kind of), with a sub-$1billion deficit for the first time in the calendar year:
- In trend terms, the balance on goods and services was a deficit of $980m in November 2014, a decrease of $122m (11%) on the deficit in October 2014.
- In seasonally adjusted terms, the balance on goods and services was a deficit of $925m in November 2014, an increase of $48m (5%) on the deficit in October 2014.
- In seasonally adjusted terms, goods and services credits rose $160m (1%) to $27,085m. Non-rural goods rose $486m (3%) and rural goods rose $179m (6%). Non-monetary gold fell $519m (38%). Net exports of goods under merchanting remained steady at $43m.
- In seasonally adjusted terms, goods and services debits rose $208m (1%) to $28,010m. Intermediate and other merchandise goods rose $224m (2%) and consumption goods rose $131m (2%). Non-monetary gold fell $90m (27%) and capital goods fell $78m (1%).
The expected seasonally adjusted print was a -$1.6 billion deficit, with prior months print significantly revised upwards to -$877 million, from -$1.32 billion.
The Aussie dollar immediately broke through the 81 cent handle against the USD, although stocks reversed on the news.
At first glance, this is pleasing news for rebalancing with the trend firming to lower trade deficits, but I’ll have a more in depth look later today!