Services ramp up
Pete Wargent blogspot
Co-founder & CEO of AllenWargent property buyer's agents, offices in Brisbane (Riverside) & Sydney (Martin Place), and CEO of WargentAdvisory (providing subscription analysis, reports & services to institutional clients).
4 x finance/investment author - 'Get a Financial Grip: a simple plan for financial freedom’ (2012) rated Top 10 finance books by Money Magazine & Dymocks.
"Unfortunately so much commentary is self-serving or sensationalist. Pete Wargent shines through with his clear, sober & dispassionate analysis of the housing market, which is so valuable. Pete drills into the facts & unlocks the details that others gloss over in their rush to get a headline. On housing Pete is a must read, must follow - he is one of the better property analysts in Australia" - Stephen Koukoulas, MD of Market Economics, former Senior Economics Adviser to Prime Minister Gillard.
"Pete Wargent is one of Australia's brightest financial minds - a must-follow for articulate, accurate & in-depth analysis." - David Scutt, Business Insider, leading Australian market analyst.
"I've been investing for over 40 years & read nearly every investment book ever written yet I still learned new concepts in his books. Pete Wargent is one of Australia's finest young financial commentators." - Michael Yardney, Australia's leading property expert, Amazon #1 best-selling author.
"The most knowledgeable person on Aussie real estate markets - Pete's work is great, loads of good data and charts, the most comprehensive analyst I follow in Australia. If you follow Australia, follow Pete Wargent" - Jonathan Tepper, Variant Perception, Global Macroeconomic Research, and author of the New York Times bestsellers 'End Game' and 'Code Red'.
"Pete's daily analysis is unputdownable" - Dr. Chris Caton, Chief Economist, BT Financial.
Saturday, 4 June 2016
Trade deficit improves by 20 per cent
Deficit improves markedly
Australia's trade deficit improved significantly by 20 per cent in April as services exports soared to record highs and imports slowed.
Services ramp up
There was another jump in the value of gold exports in the month, and behind the scenes services exports are quietly roaring, up by 19 per cent over the past year.
The total annual value of merchandise exports has taken quite a hit since 2014 with iron ore and coal prices having nosedived, but things seem to have stabilised a bit in this regard.
Indeed the annual value of merchandise exports from Western Australia increased in the month for the first time in two years, while Queensland should also enjoy a moderate rebound in commodity prices.
Western Australia's trade balance has improved as a result.
The dollar value of exports to China has also enjoyed a bit of a rebound over the last couple of months, driven by the same dynamics.
Tourism & education boom
There's an awful lot of focus on the price of iron ore, but meanwhile Australia is enjoying a record boom in services exports, and particularly in education and tourism.
Overall, it was a fine start to the June quarter with the trade deficit of $1.579 billion in April a huge improvement on the eye-popping $4.432 billion trade deficit recorded in April last year.
It seems unlikely that net exports could again contribute this quarter as massively as they did to growth in the first quarter, but it's great to see things moving in the right direction.
Over the six months to March 2016 the economy has been growing at an annualised pace of 3.6 per cent.