Japan exports hit 3-year high, but trade deficit jumps

TOKYO: Japanese exports rose in July at the fastest annual pace in nearly three years as the benefits of a weak yen finally started to take hold, and brisk sales of cars and electronics to the United States, Asia and Europe showed a recovery in overseas demand.

However, Japan still ran its third-biggest trade deficit on record at 1.02 trillion yen ($10.5bil) in July, as the weak yen and rising oil prices made energy imports ever more expensive, which may drag on corporate profits ahead.