Importance:
Definition: Net exports account
for the balance or about 13% of the GDP. Imports deduct from GDP
and exports add to the figure. In recent years, the U. S. has consistently
experienced net imports, with imports exceeding exports.
Related Indicators:
Source: Department of Commerce, Bureau of Economic Analysis,. NIPA dataset.
Frequency: Quarterly, revised monthly. The consumption for a given quarter is released together with the GDP figures in the first month following a quarter as the "advance estimate". The "preliminary estimate" is published in the second month, followed by the "revised" estimate in the third month.
Availability: Three to four weeks
following the reported quarter
Direction:
Timing:
Volatility:
Likely Impact on Financial Markets:
The GDP report also includes inflation information: the implicit deflator, which measures price changes and changes in spending patterns, and the fixed-weight price deflator, which measures price changes for an established basket of over 5,000 goods and services.
Bad news is good news for the bond market. A weak GDP is received favorably
by bond investors; a strong report causes concern the Fed might need to
intervene and raise interest rates--a negative for the fixed income market.
WEB Links
Graphs of the latest net exports data from The Economic Statistics Briefing Room of the White House
The latest GDP report from BEA includes an analysis of net exports trends in the latest quarter
You can see net exports, exports and imports charts with theEconomic Chart Dispenser
You can create customized net exports charts with the Economic Chart Maker Tip: type "EXPORTS" in the Label section of the form and choose the transformation of the data you are interested in.
An analysis of the latest GDP report from First Union
An Analysis
of the GDP report from Morgan Stanley's Stephen Roach