US Trade Deficit Hit 7-Month High in September
Strong domestic demand and record level of imports pushed the US trade deficit to a seven-month high in September. The Commerce Department reported, that the trade gap increased 1.3% to $54.0 billion in September. Taking into account inflation, the goods trade gap increased to an all-time high of $87.0 billion in September from $86.3 billion in August.
Meanwhile, US trade deficit with China increased 4.3% to a record high of $40.2 billion in September. Economists had forecast the overall trade deficit rising to $53.6 billion in September.
Imports of goods and services increased 1.5% to $266.6 billion in September, an all-time high. Imports of capital goods such as telecommunications equipment, civilian aircraft engines and computers were the highest on record. Exports of goods and services rose 1.5% to $212.6 billion in September. Exports were lifted by shipments of industrial supplies and materials, which were the highest on record. Soybean exports decreased by $0.7 billion in September.