The Global 'Canary In The Coalmine' Has Shocked Everyone With Its Glorious Song

south korean won currencySouth Korean Won

South Korean exports unexpectedly jumped by 3.2% year-over-year in May, accelerating from a 0.4% growth rate in April.

This was much stronger than the 0.9% decline expected by economists.

This confirms the unexpected strength in Friday’s strong China PMI report.

This number is particularly impressive considering Japan’s efforts to devalue its currency.¬† Many saw South Korea as the biggest loser in this since it exports many of the same goods as Japan.

According to Bloomberg, the South Korean won has fallen 18% against the Japanese yen.

Economists across Wall Street dub South Korean exports as the global economic canary in the coal mine.

Korean trade data¬†usually comes before the first trading session of the month in Asia, which makes it the first of the world’s major economic indicators to be released.

Since the yen-devaluing era of Abenomics began, Korean exports have been more volatile due to currency swings.

But that’s not to say that the report doesn’t offer a great preview for the rest of the month’s economic reports.

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