US Trade Deficit Widens to 4-Month High in October
The trade gap in the United States increased to $42.6 billion in October of 2016, up $6.4 billion from a downwardly revised $36.2 billion in September. Exports recorded the biggest decline since January due to lower shipments of food, industrial supplies and materials, automobiles, consumer goods and soybeans while imports reached the highest in 14 months.
The goods deficit widened by $6.3 billion to $63.4 billion while the services surplus narrowed by $0.1 billion to $20.8 billion.
Total exports of goods and services declined 1.8 percent to $186.4 billion. Sales of goods decreased $3.5 billion to $123.1 billion in October: foods, feeds, and beverages decreased $1.4 billion; soybeans fell $1.0 billion; corn went down $0.5 billion; industrial supplies and materials decreased $1.0 billion; nonmonetary gold dropped $0.5 billion; fuel oil decreased $0.5 billion and consumer goods went down $0.9 billion. Exports of services increased $0.1 billion to $63.3 billion, with transport, which includes freight and port services and passenger fares, rising $0.1 billion.
Total imports rose 1.3 percent to $229.0 billion. Imports of goods increased $2.8 billion to $186.5 billion: pharmaceutical preparations increased $0.7 billion; cell phones and other household goods went up $0.4 billion; capital goods rose $1.1 billion and computer accessories increased $0.6 billion while automotive vehicles, parts, and engines decreased $0.7 billion. Imports of services rose $0.2 billion to $42.4 billion: transport increased $0.2 billion.
Year-to-date, the goods and services deficit decreased $8.8 billion, or 2.1 percent, from the same period in 2015. Exports shrank $58.7 billion or 3.1 percent. Imports decreased $67.5 billion or 2.9 percent.
12/6/2016 2:02:50 PM