Australian trade balance for October is a smaller than expected surplus

<p>The surplus is just under the central estimate. </p><p>That's a big drop for imports from the previous month and will raise worries about weak Australian economic growth after yesterday's Q3 GDP was a miss:</p><ul><li><a href="https://www.forexlive.com/news/australian-q3-gdp-02-qq-vs-expected-04-20231206/" target="_blank" rel="follow" data-article-link="true">Australian Q3 GDP +0.2% q/q (vs. expected +0.4%)</a></li></ul><p>A rate cut from the Reserve Bank of Australia has been priced in around August/September next year. There will need to be substantial progress made on inflation for this to come to fruition. The alternative appears to be (should I say it?) stagflation. But a strong employment market will help counter the prospect of this. </p>

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