Unexpectedly Intriguing!
December 8, 2016

In October 2016, the United States saw the value of the goods and exports that it exports to China explode upward to the highest value on record since October-December 2013.

We can see that sudden surge in our chart tracking the year over year exchange rate adjusted growth rate of goods and services traded between China and the U.S., where it the just released data for October 2016 jumped up to 18.2% from September 2016's level of 6.3%.

Year Over Year Growth Rate of Exchange Rate Adjusted U.S.-China Trade in Goods and Services, January 1986 - October 2016

Here's what the surge looks like in terms of the U.S. Census Bureau's data on the value of the U.S.' exports to China.

Value of U.S. Exports to China, 1985-01 thru 2016-10

By contrast, the year over year growth rate of goods and services imported by the U.S. from China was slightly negative, even as the level of goods coming into the U.S. reached its cyclical annual peak, which indicates almost no year over year growth.

Value of U.S. Exports to China, 1985-01 thru 2016-10

Back in 2013, U.S. soybean farmers brought in a bumper crop at a time when both soybean prices were high, which provided a significant boost to the U.S. economy - particularly in the third quarter of that year.

Then as now, U.S. farmers have produced a bumper crop for soybeans. But this time around, the prices of soybeans are about a third lower, which means that the U.S. is exporting an even greater quantity of soybeans to China than the record levels of that year.

We'll do a follow up post to see just how much bigger soon, but for now, what we know is that the U.S. Census Bureau's data for soybean exports indicates that China bought 78% of all the soybeans that the U.S. exported to the world in October 2016!

Data Sources

Board of Governors of the Federal Reserve System. China / U.S. Foreign Exchange Rate. G.5 Foreign Exchange Rates. Accessed 8 December 2016.

U.S. Census Bureau. Trade in Goods with China. Accessed 8 December 2016.


Labels:

About Political Calculations

Welcome to the blogosphere's toolchest! Here, unlike other blogs dedicated to analyzing current events, we create easy-to-use, simple tools to do the math related to them so you can get in on the action too! If you would like to learn more about these tools, or if you would like to contribute ideas to develop for this blog, please e-mail us at:

ironman at politicalcalculations.com

Thanks in advance!

Recent Posts

Applications

This year, we'll be experimenting with a number of apps to bring more of a current events focus to Political Calculations - we're test driving the app(s) below!

Most Popular Posts
Quick Index

Site Data

This site is primarily powered by:

This page is powered by Blogger. Isn't yours?

Visitors since December 6, 2004:

CSS Validation

Valid CSS!

RSS Site Feed

AddThis Feed Button

JavaScript

The tools on this site are built using JavaScript. If you would like to learn more, one of the best free resources on the web is available at W3Schools.com.

Other Cool Resources

Blog Roll

Market Links
Charities We Support
Recommended Reading
Recommended Viewing
Recently Shopped

Seeking Alpha Certified

Archives
Legal Disclaimer

Materials on this website are published by Political Calculations to provide visitors with free information and insights regarding the incentives created by the laws and policies described. However, this website is not designed for the purpose of providing legal, medical or financial advice to individuals. Visitors should not rely upon information on this website as a substitute for personal legal, medical or financial advice. While we make every effort to provide accurate website information, laws can change and inaccuracies happen despite our best efforts. If you have an individual problem, you should seek advice from a licensed professional in your state, i.e., by a competent authority with specialized knowledge who can apply it to the particular circumstances of your case.