EXPORT BOOM: Australia's Quarterly Current Account Deficit Hits Its Lowest Point Since 2002

Australia has just produced a stellar number for the March quarter 2014 current account deficit which, in seasonally adjusted terms, “fell $6,034m (52%) to $5,672m in the March quarter 2014. There was a turnaround of $4,200m on the balance of goods and services, resulting in a surplus of $3,591m in the March quarter 2014”, according to the ABS.

In original terms the deficit of $5,383 million is the lowest quarterly CAD since the March quarter of 2002.

Westpac said the market was expecting net exports to contribute 0.8% to GDP so this is a a really solid result and the ABS says that it will contribute a huge 1.4% to Q1 GDP when it is released tomorrow at 11.30am AEST. Expect to read about GDP revisions later today.

NOW WATCH: Money & Markets videos

Want to read a more in-depth view on the trends influencing Australian business and the global economy? BI / Research is designed to help executives and industry leaders understand the major challenges and opportunities for industry, technology, strategy and the economy in the future. Sign up for free at research.businessinsider.com.au.

Tagged In