U.S. Trade Deficit Shrinks in October


U.S. trade deficit narrowed in October to the lowest level of the year, reflecting a drop in imports.

The trade deficit shrank 1.6 percent to $43.5 billion. That's down from September's revised figure of $44.2 billion.

In October, the goods deficit decreased $0.7 billion from September to $58.8 billion, and the services surplus was virtually unchanged at $15.3 billion. Exports of goods decreased $1.5 billion to $127.8 billion, and imports of goods decreased $2.2 billion to $186.6 billion. Exports of services were virtually unchanged at $51.4 billion, and imports of services increased $0.1 billion to $36.1 billion.

The September to October decrease in exports of goods reflected decreases in industrial supplies and materials ($1.3 billion); consumer goods ($0.6 billion); foods, feeds, and beverages ($0.1 billion); and automotive vehicles, parts, and engines ($0.1 billion). Increases occurred in capital goods ($0.5 billion) and other goods ($0.2 billion).

The September to October decrease in imports of goods reflected decreases in industrial supplies and materials ($3.6 billion); automotive vehicles, parts, and engines ($0.6 billion); and other goods ($0.1 billion). Increases occurred in capital goods ($1.1 billion); consumer goods ($0.7 billion); and foods, feeds, and beverages ($0.2 billion).

The October 2010 to October 2011 increase in exports of goods reflected increases in industrial supplies and materials ($8.5 billion); capital goods ($3.8 billion); automotive vehicles, parts, and engines ($1.5 billion); consumer goods ($0.8 billion); and foods, feeds, and beverages ($0.1 billion).

The October 2010 to October 2011 increase in imports of goods reflected increases in industrial supplies and materials ($12.0 billion); capital goods ($4.4 billion); automotive vehicles, parts, and engines ($2.2 billion); foods, feeds, and beverages ($1.7 billion); and consumer goods ($0.9 billion). A decrease occurred in other goods ($0.1 billion).

The October figures show surpluses with Hong Kong, Australia, Singapore, and Egypt. The biggest deficits were recorded with China, OPEC, European Union, Japan, Mexicoand Germany.


U.S. Trade Deficit Shrinks in October


TradingEconomics.com, U.S. Census Bureau
12/9/2011 1:51:36 PM