China just released its March trade data, which showed a rise to a trade surplus of $US7.71 billion against expectations of $US1.8bn and a huge turnaround on deficit of US$22.9 billion reported last month.
The key here – something that might worry traders and investors – is that both exports and imports swung heavily into the red in order to generate this positive result.
That means China both exported and imported less, which will effect thinking on Chinese and global growth.
Highlighting the point is expectations that exports will be back in the black at 4% for year-on-year, but instead printed negative 6.6%.
On the import side, running at 10.1%, year-on-year, last month, were expected to slow to a 4% annual rate, but actually crashed to be sitting down 11.3% year-on-year.
It’s data the Shanghai and Australian stockmarkets don’t like, with Shanghai off 0.2% at the moment.