Back

China: Exports rise for the third consecutive month in June – UOB Group

China’s exports rose for the third straight month in Jun but imports unexpectedly contracted. The low base effect will continue to support a strong headline export growth in 3Q24, UOB Group Economist Ho Woei Chen notes.

China’s exports rise, imports decline

“China’s exports rose for the third straight month in Jun but imports unexpectedly contracted. As a result, the trade surplus rose to a record high of US$99.05 bn.”

“The 2Q24 GDP due for release on Mon (15 Jul) is forecast to moderate after turning stronger in 1Q24. The sustained recovery in external demand as seen in the Jun exports, may help to offset a more lackluster domestic consumption and investment.”

“The low base effect will continue to support a strong headline export growth in 3Q24 while measures to increase domestic consumption and industrial modernization could help boost import demand ahead. We retain our forecast for China’s export and import growth in 2024 at 7.0% (2023: -4.6%) and 6.0% (2023: -5.5%) respectively.”

US: Cooling Jun CPI adds to “more good data” for Fed’s confidence to cut rates – UOB Group

US Jun CPI surprised with a -0.1% m/m fall, the first decline since the start of the pandemic while core inflation rose by 0.1% the slowest m/m pace since Jan 2021, UOB Group FX analyst Alvin Liew note.
Read more Previous

USD/CAD Price Analysis: Gives up intraday gains and turns negative as US Dollar retreats

The USD/CAD pair faces severe selling pressure in an attempt to extend recovery above 1.3660 and turns negative in Monday’s European session.
Read more Next