Canada: Merchandise trade deficit totaled $3.0 bln in July, narrowing from a $3.8 bln deficit in June

"Canada's merchandise trade deficit totaled $3.0 billion in July, narrowing from a $3.8 billion deficit in June," the Statistics Canada said on Wednesday.

Key takeaways:

• Imports fell 6.0% and exports decreased 4.9%, both due mainly to the effect of widespread price decreases, while the Canadian dollar appreciated sharply relative to the American dollar in July.
• Total imports fell 6.0% in July to $47.2 billion, following seven consecutive monthly increases, with declines observed in all commodity sections.
• Prices were largely responsible for this decrease, falling 3.8%. This occurred as the Canadian dollar gained 3.6 cents US relative to the American dollar from June to July.
• After posting a 5.0% decline in June, total exports fell 4.9% in July to $44.1 billion, with decreases observed in 9 of 11 sections. 
• In real (or volume) terms, imports decreased 2.3% and exports were down 1.1% in July. Consequently, Canada's trade deficit in real terms narrowed from $891 million in June to $338 million in July.