10 Apr 2014
AUD/USD gives back some gains post China trade
FXStreet (Bali) - The AUD/USD is retracing part of its sizeable gains after China released a sharp fall in imports, a negative input for the Aussie, retesting 0.9410 after 0.9440 high.
While the trade balance came much higher than expected at $7.7b vs $0.9b, it is in the dramatic decline in Chinese imports of -11.3% vs +2.4% expected and +10.1% last, that the biggest surprise came. Meanwhile, exports also came very disappointing at -6.6% vs 4.0% exp and -18.1% last.
According to China customs authority: "Both exports and imports will recover growth and enter a stable growth stage. This year the external environment will be better for trade. Relatively optimisitc that exports in Q2 will be better than in Q1. Still possible to achieve this year’s 7.5% trade growth target."
While the trade balance came much higher than expected at $7.7b vs $0.9b, it is in the dramatic decline in Chinese imports of -11.3% vs +2.4% expected and +10.1% last, that the biggest surprise came. Meanwhile, exports also came very disappointing at -6.6% vs 4.0% exp and -18.1% last.
According to China customs authority: "Both exports and imports will recover growth and enter a stable growth stage. This year the external environment will be better for trade. Relatively optimisitc that exports in Q2 will be better than in Q1. Still possible to achieve this year’s 7.5% trade growth target."