Andrew Hanlan, Research Analyst at Westpac, notes that Australia’s trade surplus widened to $1.9bn in June, a marked improvement on a $0.7bn surplus for May, as export earnings moved higher. 

Key Quotes

“The outcome exceeded expectations (market median $0.9bn and Westpac $1.1bn).”

“Exports increased by 2.6% in the month, $0.9bn, with gains across a number of categories.”

“Imports declined by 0.7%, $0.2bn, as the fuel bill fell on lower oil prices.”

“The trade surplus for the June quarter was $2.9bn, a decrease of $490mn on the March quarter.”

“This deterioration in the trade position between Q1 and Q2 reflects a decline in the terms of trade, in our view, down an estimated 1.5%.”