Shutterstock photo
Markets

Australia’s Trade Surplus Diminishing? Look Again

Shutterstock photo

Shutterstock photo

The report out by the Australian Bureau of Statistics this morning gave traders the impression of a country facing significant shortfalls in its export capabilities. Australia has been operating on a trade surplus consistently since mid-2010, with the exception of April 2011 data. It seems many think the nation is approaching another deficit as the abnormally high Australian dollar (AUD) is expected to gouge exports.

The data was anticipated to reveal a surplus of roughly A$1.91B, up from last month's A$1.82B. With today's report beating last month's reading with a A$1.83B, it seems to have diminished some traders' appetite for the AUD, but oddly considering it was better than the previous month's figure. Market expectations were priced in ahead of time, making the better-than- previous month's data serve as a negative when it should have been otherwise.

Read more forex trading news on our forex blog .

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.


The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Other Topics

ForEx