US Trade Deficit Narrows With Surging Exports

The U.S. trade gap unexpectedly narrowed in August to its smallest level in seven months on an increase in exports, supporting views of sturdy economic growth in the third quarter.

The Commerce Department said on Friday the trade gap narrowed 0.5 percent to $40.1 billion. July’s trade deficit was revised to $40.3 billion.

Economists polled by Reuters had expected the deficit to widen to $40.9 billion in August from a previously reported $40.6 billion shortfall a month earlier.

 
Exports increased 0.2 percent to $198.5 billion in August, supported by rising sales aboard of U.S. capital goods, consumer goods and industrial supplies.

Imports edged up 0.1 percent to $238.6 billion. Imports of petroleum and autos declined. Petroleum imports were at their lowest level since Nov. 2010, aided by a domestic energy boom that has seen the United States reduce its dependence on foreign oil. Imports of capital goods were the highest on record.

via Reuters

Content is for general information purposes only. It is not investment advice or a solution to buy or sell securities. Opinions are the authors; not necessarily that of OANDA Business Information & Services, Inc. or any of its affiliates, subsidiaries, officers or directors. If you would like to reproduce or redistribute any of the content found on MarketPulse, an award winning forex, commodities and global indices analysis and news site service produced by OANDA Business Information & Services, Inc., please access the RSS feed or contact us at info@marketpulse.com. Visit https://www.marketpulse.com/ to find out more about the beat of the global markets. © 2023 OANDA Business Information & Services Inc.