April Data: Australian Retail Sales Below Expectations, Trade Deficit Reduced

April Data: Australian Retail Sales Below Expectations, Trade Deficit Reduced

Australia Retail Sales for April came at +0.2% m/m vs +0.3% exp, while Australia April trade balance saw the deficit shrink to 1.579mln vs  2100mln exp.

Key points - retail sales

• The trend estimate rose 0.2% in March 2016. This follows a rise of 0.2% in February 2016 and a rise of 0.2% in January 2016.
• The seasonally adjusted estimate rose 0.4% in March 2016. This follows a rise of 0.1% in February 2016 and a rise of 0.4% in January 2016.
• In trend terms, Australian turnover rose 3.6% in March 2016 compared with March 2015.
• The following industries rose in trend terms in March 2016: Food retailing (0.1%), Clothing, footwear and personal accessory retailing (0.7%), Household goods retailing (0.2%), Other retailing (0.2%) and Department stores (0.1%). Cafes, restaurants and takeaway food services (0.0%) was relatively unchanged in trend terms in March 2016.
• The following states and territories rose in trend terms in March 2016: New South Wales (0.2%), Victoria (0.2%), Queensland (0.1%), South Australia (0.3%), the Australian Capital Territory (0.8%) and Tasmania (0.2%). Western Australia (0.0%) was relatively unchanged. The Northern Territory (-0.1%) fell in trend terms in March 2016.

Key points - trade balance

BALANCE ON GOODS AND SERVICES

• In trend terms, the balance on goods and services was a deficit of $1,943m in April 2016, a decrease of $434m (18%) on the deficit in March 2016.
• In seasonally adjusted terms, the balance on goods and services was a deficit of $1,579m in April 2016, a decrease of $392m (20%) on the deficit in March 2016.

CREDITS (EXPORTS OF GOODS AND SERVICES)

• In seasonally adjusted terms, goods and services credits rose $171m (1%) to $26,734m. Rural goods rose $157m (5%) and non-monetary gold rose $141m (8%). Non-rural goods fell $224m (1%) and net exports of goods under merchanting fell $2m (5%). Services credits rose $98m (2%).

DEBITS (IMPORTS OF GOODS AND SERVICES)

• In seasonally adjusted terms, goods and services debits fell $222m (1%) to $28,313m. Capital goods fell $299m (6%) and non-monetary gold fell $67m (14%). Consumption goods rose $70m (1%) and intermediate and other merchandise goods rose $64m (1%). Services debits rose $11m.