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Forex Flash: Expect small uptick in Japanese Current Account - DBS Group
FXstreet.com (Barcelona) - DBS Group analysts note that the balance of payment statistics for March (due tomorrow) will likely show a small improvement in the current account.
They add that the unadjusted current account balance is expected to register a surplus of JPY 1.1trn, widening from JPY 637bn in the previous month. They feel that by striping out seasonal factors, the current account is likely to post a small surplus of JPY 300bn, also better than JPY -0.1bn in February. Further, merchandise trade deficit narrowed slightly in March. They write, “The services trade deficit has been narrowing more obviously ever since 4Q12, as tourist inflows increased along with the weakening of yen. Meanwhile,the income account surplus should have widened in March, due to the peak season of earnings payments.”