My, my, hey, hey

It's the Japanese Trade balance for May

(I know, my poetry is amazing)

A big miss, coming in at a deficit of 203.4 bn yen

  • expected Y 43.3bn, prior was Y 481.1bn

Trade balance (adjusted): Y 133.8bn

  • expected surplus Y 345.5bn, prior was Y 97.6bn

Exports y/y: 14.9% (miss)

  • expected +16.0%, prior was +7.5%

Imports y/y: +17.8%

  • expected 14.5%, prior was 15.2%

While a miss on expectations its not as if exports have collapsed, up 14.9% y/y (tthat's the biggest rise since January of 2015). Expectations were for better; export performance has been a bright spot for Japan's economy and has helped propel industrial output. To the extent this impacts on the BOJ (it won't much at all) it's a yen negative.

More:

  • May exports to the US +11.6% y/y (fastest rise since July 2015)
  • To China +23.9% y/y
  • To Asia +16.8 % y/y
  • To EU +19.8% y/y