Trade balance watch: what are the flows saying?

Trade balances move slowly but set the backdrop: surplus countries accumulate foreign currency, deficit countries depend on inflows. The recent data tells an interesting story.

Trade balance watch: what are the flows saying? — risk-reward diagram
A risk-reward ratio of 1 to 2

Share:

  • the trade data you're tracking
  • how balances are shifting
  • the currency implications you see
Trade balance watch: what are the flows saying? — candlestick anatomy diagram
The parts of a candlestick: wick, body, open and close

Background: trade balance and current account and Japan's trade deficit.

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