Global| Oct 05 2016U.S. Trade Deficit Widens
by:Tom Moeller
|in:Economy in Brief
Summary
The U.S. trade deficit in goods and services increased to $40.7 billion during August from an unrevised $39.5 billion in July. The Action Economics Forecast Survey expected a $40.0 billion deficit. Overall exports increased 0.8% (0.7% [...]
The U.S. trade deficit in goods and services increased to $40.7 billion during August from an unrevised $39.5 billion in July. The Action Economics Forecast Survey expected a $40.0 billion deficit.
Overall exports increased 0.8% (0.7% y/y) following a 1.9% rise. Exports of goods rose 0.6% (0.7% y/y) after a 3.1% jump. Industrial supplies & materials exports gained 4.2% (-1.6% y/y) after an 11.5% rise. Automotive vehicle & parts exports rose 3.1% (1.0% y/y), the same as they did in July. To the downside, foods, feeds and beverage exports declined 2.3% (+33.9% y/y) following a 33.9% surge powered by soybean exports. Capital goods exports were off 1.6% (-5.5% y/y) on the heels of a 0.5% fall. Nonauto consumer goods exports fell 0.7% (+1.0% y/y). Services exports improved 0.5% (0.3% y/y) after a 0.1% easing as travel exports jumped 1.2% (3.0% y/y). Exports of financial services gained 0.3% (-7.4% y/y) following a 1.8% decline. Charges for the use of intellectual property eased 0.2% (-4.5% y/y) after a 0.1% dip.
Total imports increased 1.2% (-1.2% y/y) after a 0.7% decline. Imports of goods rose 0.6% (-2.5% y/y) following a 1.0% drop. Petroleum product imports increased 2.2% (-12.5% y/y), but the price per barrel of crude oil fell to $39.38 from $41.02. Nonpetroleum product imports rose 0.5% (-1.5% y/y). Foods, feeds & beverage imports rose 2.4% (2.8% y/y) after a 2.0% rise. Capital goods imports also increased 2.4%, but were unchanged y/y. Auto imports rose 0.9% (-3.0% y/y) following a 0.2% easing. Nonauto consumer goods imports fell 0.6% (-5.1% y/y) following a 3.0% drop. Services imports improved 3.6% (4.8% y/y) owing to a 37.7% surge (38.0% y/y) in the use of intellectual property. Travel imports increased 1.6% (9.7% y/y) and financial services imports rose 0.3% (-2.6% y/y).
By country, the trade deficit with China deepened to $33.9 billion, its deepest since October. Exports rose 2.6% (2.4% y/y) while imports jumped 9.5% (-2.0% y/y). The trade deficit with Japan was little changed at $6.0 billion. Exports rose 0.6% y/y while imports strengthened 8.5% y/y. The trade deficit with the European Union deepened to $13.9 billion. Exports rose 3.9% y/y while imports rose 2.7% y/y.
The international trade data can be found in Haver's USECON database. Detailed figures are available in the USINT database. The expectations figures are from the Action Economics Forecast Survey, which is carried in the AS1REPNA.
| Foreign Trade in Goods & Services (Current Dollars) | Aug | Jul | Jun | Y/Y | 2015 | 2014 | 2013 |
|---|---|---|---|---|---|---|---|
| U.S. Trade Deficit | $40.7 bil. | $39.5 bil. | $44.7 bil. | $44.6 bil. (8/15) |
$500.4 bil. | $490.2 bil. | $461.9 bil. |
| Exports of Goods & Services (% Chg) | 0.8 | 1.9 | 0.8 | 0.7 | -4.9 | 3.6 | 3.4 |
| Imports of Goods & Services (% Chg) | 1.2 | -0.7 | 1.9 | -1.2 | -3.7 | 4.0 | 0.0 |
| Petroleum (% Chg) | 2.2 | -4.9 | 19.4 | -12.5 | -45.5 | -9.6 | -11.0 |
| Nonpetroleum Goods (% Chg) | 0.5 | -0.7 | 1.2 | -1.5 | 2.2 | 6.5 | 2.0 |
Tom Moeller
AuthorMore in Author Profile »Prior to joining Haver Analytics in 2000, Mr. Moeller worked as the Economist at Chancellor Capital Management from 1985 to 1999. There, he developed comprehensive economic forecasts and interpreted economic data for equity and fixed income portfolio managers. Also at Chancellor, Mr. Moeller worked as an equity analyst and was responsible for researching and rating companies in the economically sensitive automobile and housing industries for investment in Chancellor’s equity portfolio. Prior to joining Chancellor, Mr. Moeller was an Economist at Citibank from 1979 to 1984. He also analyzed pricing behavior in the metals industry for the Council on Wage and Price Stability in Washington, D.C. In 1999, Mr. Moeller received the award for most accurate forecast from the Forecasters' Club of New York. From 1990 to 1992 he was President of the New York Association for Business Economists. Mr. Moeller earned an M.B.A. in Finance from Fordham University, where he graduated in 1987. He holds a Bachelor of Arts in Economics from George Washington University.
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