Japan Trade Balance contracts to a deficit of ¥-231.2 billion

Joshua Gibson FXStreet

According to Japan's Ministry of Finance, Japan's Merchandise Trade Balance contracted by much more than expected, sinking to ¥-231.2 billion compared to the expected ¥-41.2 billion. The USD/JPY is seeing limited reaction to the figures out of the gate, trading into 110.55.

Key highlights

The prior trade balance was ¥720.8 billion.

The adjusted trade balance also missed and printed in contraction, coming in at ¥-45.6 billion versus the expected ¥20.7 billion surplus.

Exports sank to 3.9% y/y compared to the forecast 6.3%; previous was 6.7%.

Imports surged to 14.6% y/y, last was 2.6%.

Exports to the US declined in July by 5.2% y/y, while exports to China lifted 11.9% y/y.

Author

Joshua Gibson

FXStreet

Joshua joins the FXStreet team as an Economics and Finance double major from Vancouver Island University with twelve years' experience as an independent trader focusing on technical analysis.

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