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China: tiny trade deficit is positive trend

Source: Financial Times, 10th April 2011

While investors are understandably mesmerised by the US fiscal train wreck, they should shoot a glance at another deficit, over in China. On Sunday the customs bureau reported that imports ($400bn) had exceeded exports ($399bn) over the first three months. This tiny trade deficit - China's first quarterly shortfall for seven years - is an encouraging development for the world economy.



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