China’s Trade Data Misses Expectations, Yuan Unfazed

The economic outlook for China comes under a cloud early on Monday following the release of slightly disappointing trade data, with both

Written by: Aiswarya Gopan • Monday, June 7, 2021 • 1 min read

• Last updated: Monday, June 7, 2021

China's Trade Data Misses Expectations, Yuan Unfazed

The economic outlook for China comes under a cloud early on Monday following the release of slightly disappointing trade data, with both exports and imports coming in below forecasts. Chinese exports posted a 27.9% YoY increase during May while imports ticked 51.1% higher for the period, below economists’ expectations for a rise by 32.1% and 51.5% respectively.

The world’s second largest economy and one of the leaders in international trade saw its trade surplus touch $45.53 billion for the month of May. Economists had previously forecast a rise to $50.5 billion instead from April’s reading of $42.86 billion.

The weak numbers indicate a potential slowdown in the pace of economic recovery across China and could be driven by the uneven pace of recovery across the globe from the ongoing coronavirus crisis. Although China was one of the first countries worldwide to contain the pandemic successfully, most of its key trade partners are still reeling under the effects of successive waves of infections.

Despite the weaker than expected trade data, the Chinese yuan has regained some of its strength against the US dollar, as markets focus more on the US NFP report keeping the greenback under pressure. At the time of writing, USD/CNH is trading at around 6.396, below the key 6.40 level.

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ABOUT THE AUTHOR See More

Aiswarya Gopan

Financial Writer & Editor - Asia & Europe Desk

Aiswarya Gopan is a financial journalist, editor, and content strategist with more than 19 years of experience across financial markets, fintech, blockchain, and technology. She has worked with leading cryptocurrency exchanges, including BingX and KuCoin, driving content strategy, market research, and editorial initiatives covering digital assets, DeFi, Web3, and global financial markets. Drawing on a background in cybersecurity, technology journalism, and market research, Aiswarya specializes in translating complex financial and blockchain developments into clear, timely insights. At FX Leaders, she covers cryptocurrency, stocks, forex, and macroeconomic developments across the Asian and European trading sessions.