Japan exports rose 3.9 percent in July from the year ago period, data showed on Wednesday, compared with a Reuters forecast for a gain of 3.8 percent and after falling 2 percent in June.
Imports fell an annual 2.3 percent versus expectations for a 1.7 percent decline and following an 8.4 percent in increase in June. This widened the country's trade deficit to 964 billion yen for July compared with June's deficit of 822.2 billion yen. Expectations were for a trade gap of 702.5 billion yen.
"I think the big surprise there is with the import number," Izumi Devalier, Japan Economist at HSBC, told CNBC. "We had seen very strong imports in the previous month so we had expected it to come down a bit but it looks like imports are recovering quite quickly though consumption remains weak in Japan."
Recommended Content
Editors’ Picks
EUR/USD extends gains above 1.0700, focus on key US data
EUR/USD meets fresh demand and rises toward 1.0750 in the European session on Thursday. Renewed US Dollar weakness offsets the risk-off market environment, supporting the pair ahead of the key US GDP and PCE inflation data.
USD/JPY keeps pushing higher, eyes 156.00 ahead of US GDP data
USD/JPY keeps breaking into its highest chart territory since June of 1990 early Thursday, recapturing 155.50 for the first time in 34 years as the Japanese Yen remains vulnerable, despite looming intervention risks. The focus shifts to Thursday's US GDP report and the BoJ decision on Friday.
Gold price edges higher amid weaker USD and softer risk tone, focus remains on US GDP
Gold price (XAU/USD) attracts some dip-buying in the vicinity of the $2,300 mark on Thursday and for now, seems to have snapped a three-day losing streak, though the upside potential seems limited.
Injective price weakness persists despite over 5.9 million INJ tokens burned
Injective price is trading with a bearish bias, stuck in the lower section of the market range. The bearish outlook abounds despite the network's deflationary efforts to pump the price.
US Q1 GDP Preview: Economic growth set to remain firm in, albeit easing from Q4
The United States Gross Domestic Product (GDP) is seen expanding at an annualized rate of 2.5% in Q1. The current resilience of the US economy bolsters the case for a soft landing.