US Trade Deficit Widens in July

The US trade deficit widened in July as exports fell and the nation bought more cars and car parts from overseas.

The trade gap rose 13% to $39.1bn (£25bn) compared with June’s $34.5bn, said the US Commerce Department.

Imports of cars, trucks, motoring parts and engines rose to a record $26.5bn. Much of that was supplied by US firms that have plants in Canada and Mexico.

July saw exports fall 0.6% from June’s record level as sales of capital goods, such as aircraft and engines slowed.

However the trend shows that the trade gap is closing.

Including the July figures, the three month average fell to $39.1bn from $39.3bn.

via BBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, he established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza