Australia's April trade balance disappoints, sharp decline in exports

Australia's trade balance for April came in at 0.55 bn vs 1.95 bn exp and +3.1 bn last. Exports were down by 8% m/m, while imports were also down by 1% m/m. 

Trade balance key points

BALANCE ON GOODS AND SERVICES: In trend terms, the balance on goods and services was a surplus of $3,224m in April 2017, a decrease of $70m (2%) on the surplus in March 2017. In seasonally adjusted terms, the balance on goods and services was a surplus of $555m in April 2017, a decrease of $2,614m (82%) on the surplus in March 2017.

CREDITS (EXPORTS OF GOODS AND SERVICES): In seasonally adjusted terms, goods and services credits fell $2,784m (8%) to $30,590m. Non-rural goods fell $2,497m (12%), non-monetary gold fell $373m (20%) and rural goods fell $73m (2%). Net exports of goods under merchanting rose $3m (8%). Services credits rose $156m (2%).

DEBITS (IMPORTS OF GOODS AND SERVICES): In seasonally adjusted terms, goods and services debits fell $171m (1%) to $30,035m. Intermediate and other merchandise goods fell $198m (2%), non-monetary gold fell $153m (27%) and consumption goods fell $102m (1%). Capital goods rose $130m (2%). Services debits rose $152m (2%).