Australia posted a third straight trade deficit in June – as falling commodity prices and the high dollar eroded the value of export earnings – creating a dead weight on second-quarter economic growth.
Even though volumes of shipments, particularly for iron ore, coal and LNG, remained solid, growth in earnings are being squeezed.
Compared to the total $3 billion surplus recorded in the first quarter, the second quarter delivered a cumulative deficit of $4.8 billion..........Much of the deterioration “reflects a decline in export prices, particularly for iron ore,” said Andrew Hanlan, a senior economist at Westpac.......
