Auto exports power Japan''s trade surplus
25 Jul 2007
Japan''s trade surplus rose in June on the back of stronger-than-expected auto export growth to touch a ¥1.23 trillion ($10.18 billion / Rs40,590 crore) — a 53 per cent year-on-year increase.
The fall in the value of the Yen has helped push exports to the US, the largest single buyer of Japanese goods, by 6.7 per cent than in the same period a year earlier.
Japanese automakers have witnessed strong sales in Asia, the US and Europe, along with rising global oil prices, helping it to arrest the decline in recent months of its trade surplus with the US.
Observers
say, that the rising trade surplus, may herald an increase
in Japanese interest to 0.75 per cent, perhaps, by August.
Earlier in February, the Bank of Japan had raised rates
to 0.5 per cent.
Japan''s trade surplus with the US is forecast to rise
steadily in the second half of 2007.
and is said to be keen to make acquisitions of active
insurance companies.
