7 Aug 2015
UK goods trade deficit widened to GBP 9.184 billion in June
FXStreet (Mumbai) - The data released by the UK Office for National Statistics on Friday showed the UK trade goods trade deficit in June widened to GBP 9.184 billion from May’s GBP 8.00 billion.
The official report says deficit on trade in goods and services was estimated to have been GBP 1.6 billion in June 2015, compared with GBP 0.9 billion in May 2015. This reflects a deficit of GBP 9.2 billion on goods, partially offset by an estimated surplus of GBP 7.6 billion on services.
Export of goods decreased by GBP 0.3 billion to GBP 24.9 billion in June 2015, mainly reflecting a GBP 0.5 billion fall in exports of unspecified goods. Imports of goods increased by GBP 0.5 billion to GBP 34.1 billion over the same period, attributed to a GBP 0.2 increase in fuels (specifically oil) and a cumulative rise in imports of almost all other commodities.
Positive contribution to GDP
Figures from the ONS also showed the second quarter total trade deficit narrowed to GBP 4.8 billion, the smallest since the second quarter(2Q) of 2011, which will have a positive contribution to GDP.
The report also showed the UK's goods deficit with the EU widened in 2Q while its deficit with non-EU countries narrowed by GBP 3.2 billion – the largest quarterly narrowing since the fourth quarter of 2013.
Rise in trade deficit with EU countries is in line with the PMI reports, which highlighted the drop in the export orders due to the strength in the GBP against the EUR.
The official report says deficit on trade in goods and services was estimated to have been GBP 1.6 billion in June 2015, compared with GBP 0.9 billion in May 2015. This reflects a deficit of GBP 9.2 billion on goods, partially offset by an estimated surplus of GBP 7.6 billion on services.
Export of goods decreased by GBP 0.3 billion to GBP 24.9 billion in June 2015, mainly reflecting a GBP 0.5 billion fall in exports of unspecified goods. Imports of goods increased by GBP 0.5 billion to GBP 34.1 billion over the same period, attributed to a GBP 0.2 increase in fuels (specifically oil) and a cumulative rise in imports of almost all other commodities.
Positive contribution to GDP
Figures from the ONS also showed the second quarter total trade deficit narrowed to GBP 4.8 billion, the smallest since the second quarter(2Q) of 2011, which will have a positive contribution to GDP.
The report also showed the UK's goods deficit with the EU widened in 2Q while its deficit with non-EU countries narrowed by GBP 3.2 billion – the largest quarterly narrowing since the fourth quarter of 2013.
Rise in trade deficit with EU countries is in line with the PMI reports, which highlighted the drop in the export orders due to the strength in the GBP against the EUR.