9 Mar 2016
China dismall trade flashback - UOB
Analysts at UOB Group reminds us that China reported its largest monthly drop in exports since 2009 in February.
Key Quotes:
"In USD terms, exports slumped by 25.4% y/y (Bloomberg: -14.5%) weaker than 11.2% contraction in January while import contracted by 13.8% y/y (Bloomberg: -12.0%) vs. 18.8% drop in January.
Trade surplus narrowed to US$32.59 bn in February (Bloomberg: US$51.0 bn) compared to US$63.29 bn in January. The sharp contraction in February exports was partly due to a high base effect and Chinese New Year distortions given the +48% y/y jump in the same month last year. Having said that, we would expect a sharp rebound in March exports due to a low base effect."
Key Quotes:
"In USD terms, exports slumped by 25.4% y/y (Bloomberg: -14.5%) weaker than 11.2% contraction in January while import contracted by 13.8% y/y (Bloomberg: -12.0%) vs. 18.8% drop in January.
Trade surplus narrowed to US$32.59 bn in February (Bloomberg: US$51.0 bn) compared to US$63.29 bn in January. The sharp contraction in February exports was partly due to a high base effect and Chinese New Year distortions given the +48% y/y jump in the same month last year. Having said that, we would expect a sharp rebound in March exports due to a low base effect."