26 Mar 2014
New Zealand trade balance to deliver more good news - BNZ
FXStreet (Bali) - Thursday’s New Zealand merchandise trade report for February will be released at 21.45GMT, with the Economics Team at Bank of New Zealand expecting to deliver more good news as booming commodity export prices and strong primary production continue to inflate export returns.
Key Quotes
"The 14% annual gain we’ve pencilled in for exports, along with 4% for imports, would result in a monthly trade surplus of $839m. This is atop the market range – although more for the relatively slower imports we have than anything especially stronger on exports."
"Anyone in any doubt about the economy’s pulse might first want to have another look at the data that was published last week, though. And not only the solid GDP result of Q4 2013, but the raft of indicators suggesting growth is continuing with quite some force in 2014. The standouts were sky-high consumer confidence, booming net inward migration and strong gains in tourist arrivals (even now from Europe)."
"Last week’s data also confirmed the shrinking path the nation’s current account deficit is on. If we’re close to the truth on February’s merchandise trade, the external deficit will remain on track to reduce to around 2.8% of GDP in the year to March, from the 3.4% ratio that was reported last week for calendar 2013. Not to mention that a +$839m result this Thursday would easily be a record February surplus in dollar terms and the highest as a share of exports in more than 20 years."
Key Quotes
"The 14% annual gain we’ve pencilled in for exports, along with 4% for imports, would result in a monthly trade surplus of $839m. This is atop the market range – although more for the relatively slower imports we have than anything especially stronger on exports."
"Anyone in any doubt about the economy’s pulse might first want to have another look at the data that was published last week, though. And not only the solid GDP result of Q4 2013, but the raft of indicators suggesting growth is continuing with quite some force in 2014. The standouts were sky-high consumer confidence, booming net inward migration and strong gains in tourist arrivals (even now from Europe)."
"Last week’s data also confirmed the shrinking path the nation’s current account deficit is on. If we’re close to the truth on February’s merchandise trade, the external deficit will remain on track to reduce to around 2.8% of GDP in the year to March, from the 3.4% ratio that was reported last week for calendar 2013. Not to mention that a +$839m result this Thursday would easily be a record February surplus in dollar terms and the highest as a share of exports in more than 20 years."