What to make of China’s April trade surplus coming out four times bigger than the consensus forecast? The $11.4bn number is too big to ignore, even if it is only one month’s data.
Exports rose 29.9 per cent year-on-year – dead in line with predictions. But import growth was well below expectations at 21.8 per cent. The good news is that global demand remains pretty firm. The bad news is that China’s economic rebalancing may take even longer than Beijing’s cautious leaders would wish. US and Chinese officials holding bilateral talks in Washington this week have plenty on their plates.
Investors took the announcement in their stride: equities in Asia rose a tad – with the Shanghai Composite index up 0.63 per cent and, top-performing Manila 1.08 per cent higher.