Australia posted a larger than expected trade surplus of A$11.791 billion in May, up from a downwardly revised AUD 10.45 billion in April, beating market forecasts of A$10.5 billion the Australian Bureau of Statistics reported. Exports rose more than imports. Shipments grew by 4.4% from April to A$57.77 billion, boosted by increases in non-monetary gold, with total exports to Australia’s largest trade partner China. rising by 9%. Imports rose 2.5% to a four-month high of A$45.98 billion powered by robust domestic demand.
The report comes after softening global demand as China battles to rebuild its economy after the zero Covid policies. Simply, when China slows down, Australian mining companies are more likely to see a slowdown in exports from Australia.
Key statistics for May 2023
- The seasonally adjusted balance on goods and services surplus increased $1,337m in May.
- Goods and services credits (exports) rose $2,437m (4.4%) driven by Non-monetary gold.
- Goods and services debits (imports) rose $1,100m (2.5%) driven by Non-industrial transport equipment.
Source: ABS
Via a Sunburnt Country…
From The TradersCommunity Australian News Desk