TORONTO, Sept 4 Reuters Canada posted a lowerthanexpected trade surplus of C684 million 505 million in July as imports fell faster than exports, while the June balance was revised to a deficit from a surplus, Statistics Canada data showed on Wednesday.

Exports were down by 0.4, after rising 4.7 in June, on declines for motor vehicles and parts as well as wheat and canola. In volume terms, exports decreased 1.5.

Export volumes were pretty weak across the board, said Stuart Bergman, chief economist at Export Development Canada.

That continues the volatile yoyo trend that we39;ve seen this year … This bouncing around makes it really hard for businesses to plan. It is somewhat reflective of the stopstart nature of what we39;re seeing in the economy south of the border.

Canada sends about 75 of its exports to the United States.

Analysts polled by Reuters had forecast a surplus of C0.8 billion. June39;s trade balance was revised to show a deficit of C179 million from a preliminary surplus of C638 million.

Imports fell by 1.7, from a record C66.1 billion in June, on lower motor vehicles and parts as well as aircraft. Import volumes were down 2.

Higher interest rates and prices continue to hamper consumers, Bergman said.

The Bank of Canada has begun lowering interest rates to support the economy. It is due to make a policy decision at 945 a.m. ET 1345 GMT.

The Canadian dollar was trading nearly unchanged at 1.3552 per U.S. dollar, or 73.79 U.S. cents.

11.3552…