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WTO Trade Barometer: Below Trend On Weaker Import Demand

GLOBAL
  • The WTO’s global trade barometer fell from 100 in Aug to 96.2 in today’s update, the lowest since recovering from the depths of the pandemic and below its long-term trend line.
  • The trade slowdown is consistent with its latest forecasts from Oct 5, with today's reading suggesting global trade growth is likely to slow into 2023 as well.
  • Within the details: “The barometer index was weighed down by negative readings in sub-indices representing export orders (91.7), air freight (93.3) and electronic components (91.0). Together, these suggest cooling business sentiment and weaker global import demand. The container shipping (99.3) and raw materials (97.6) indices finished only slightly below trend but have lost momentum. The main exception is the automotive products index (103.8), which rose above trend due to stronger vehicle sales in the United States and increased exports from Japan as supply conditions improved and as the yen continued to depreciate.”


Source: WTO

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