RBA Rates Coast on Low Inflation

Japan posted a trade deficit of 40.7 billion yen in May, data from the Ministry of Finance showed on Monday. The trade deficit was lower than forecasts which projected a surplus of 70 billion yen. Exports fell -11.30% on a year over year basis, missing forecasts and extending the declines of -10.10% from April. Exports to Asia were down -13.00% on the year while exports to China fell -14.90%. Imports were also weaker falling at an annual pace of -13.80%.

Wholesale sales in Canada edged higher in April for the first time in three months, rising 0.10% from March. This was slightly below forecasts of a 0.20% increase, data from Statistics Canada showed on Monday. Inventories declined 0.30% to 72.16 billion in April. The miscellaneous subsector posted the largest gains in terms of dollar value, rising 5.20% in April with the remainder accounting for nearly 12.60%. Sales in the food, beverage and tobacco subsector were up 0.70% on the month, reversing the declines from the past two months.