Numbers: The US trade deficit fell by almost 18% in October after the largest export surge in 13 years and a slowdown in imports associated with domestic port congestion.
The trade gap narrowed from a record $ 81.4 billion last month to $ 67.1 billion. The government said on Tuesday. Economists polled by The Wall Street Journal predicted a $ 67 billion deficit.
US exports increased 8.1% to a record $ 223.6 billion. This is the largest increase since 2008.
Imports increased by less than 1% to $ 290.7 billion, yet a record high.
Big picture: The October trade gap has probably plummeted from a record high just a month ago, probably only once.
The surge in exports has not been sustained, and persistent delays in the unloading of waiting vessels at US ports are curbing imports. These problems will eventually be resolved.
During the pandemic, the United States has run an unusually high deficit. Americans are buying a lot of foreign-made goods in the midst of a strong economic recovery, but other countries are slow to recover, which reduces their appetite for American-made goods.
Market reaction: Dow Jones Industrial Average
And S & P500
Set to open higher on Tuesday trading.
U.S. trade deficit will fall 18% from record highs in October as exports surge
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