Trade Deficit Declines for First Time in Four Months
The U.S. trade deficit declined in October for the first time in four months, the Commerce Department reported Dec. 4.
The gap between imports and exports fell 5.4% to $40.6 billion from $43 billion in September.
The trade deficit was above economists’ forecast of $40 billion, Bloomberg News reported.
Sales of goods to China, Canada and Mexico were the highest on record, pointing to an improving global demand, Bloomberg reported.
“We are starting to see some recoveries abroad, and in general, stronger global growth is going to lead to a pickup in export growth over time,” global economist Jay Bryson told Bloomberg News.
“Consumers are two-thirds of the economy, and consumer spending continues to grind higher. All components of domestic demand outside of the government are growing,” he said.
Exports rose 1.8% to $192.7 billion, and Imports increased 0.4% to $233.3 billion in October, the most since March 2012.
