Japan’s exports in October rebounded from a 43-month low – recap

The data from earlier in the session is here:

• Japan October trade balance -461bn yen (expected -360bn yen)

Exports rose 3.1% y/y in October, beating expectations of a 2.2% rise and a reversal from the -1.7% fall seen in September. September marked a 43-month low.

Exports were led by a pick-up in chip equipment demand in China. Looking ahead, though, potential U.S. protectionist trade policies could weigh.

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Via Reuters come comments from Shunsuke Kobayashi, chief economist at Mizuho Securities:

• estimated that a proposed 10% tariff on all U.S. imports could push down Japan’s gross domestic product by 0.13%, and another 0.12% if a potential 60% levy on Chinese-made products triggers retaliatory tariffs from China

This article was written by Eamonn Sheridan at www.forexlive.com.