Australia Posts Surprise December Trade Surplus, And It's Huge

Australia beat market expectations with a huge international trade surplus of $468 million in December.

Analysts expected a deficit of $225 million after a November deficit of $118 million, which has since been adjusted to an $83 million surplus – Australia’s first surplus since December 2011.

The AUD fell 3.7 per cent against the US dollar throughout December.

Exports rose a seasonally adjusted 4 per cent to $28.5 billion, with metals, minerals, rural goods, and tourism exports offsetting falls in non-monetary gold and other services.

Imports rose a seasonally adjusted 2 per cent to $28.0 billion.

According to the ABS, Australia imported $7.2 billion more than it exported throughout the 2013 calendar year, up from a $23.1 billion deficit recorded in 2012.

The AUD has been on the rise all morning and rose sharply from about 11.15am, just before the 11.30am data release. It rose almost 0.5% in the hour to trade at $US0.8971 by noon.

Via investing.com, here’s what happened:

There’s more on the ABS.

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