Marketwatch reports:
The U.S. trade deficit narrowed sharply in October as exports were powered by the weaker dollar and imports slowed to a crawl.Good news in the short run, though the longer trend reversal since the economic recovery (i.e. going back to the "norm" of a strong imbalance of imports) remains.
The nation's trade deficit shrank 7.6% in October to $32.9 billion from $35.7 billion in September, the Commerce Department said. The September trade gap had been reported at $36.5 billion.
The narrowing of the deficit was unexpected. Analysts surveyed by MarketWatch had expected the deficit to widen to $37 billion.
The lower deficit also eases fears that the trade balance would deteriorate sharply after the deficit widened sharply last month.
During this recession there has been a sharp drop in international trade that led to a substantial improvement in the U.S. trade deficit.
![](https://blogger.googleusercontent.com/img/b/R29vZ2xl/AVvXsEgoS746XcC2f5A-oDxZUdp-AJNxez_6v3c9EVDFR3eerVliQT_crfQ1pOZlFtV08uh4PmTnmyACh9_21FQ4KYj3TBxVmFMKAdSEig9ebxTJDNA7WEqAFcwe2fjtdgKU4U2PJ79Xs4n12g/s400/tradebaloct.png)
It will be interesting to see what kind of results we get for November and December, but the October print is positive for Q4 GDP.
Source: Census
nice post. thanks.
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