U.S. trade deficit hits lowest level since 2009 in October

The trade gap narrowed 39.0% to US$29.4 billion in October as imports fell, while exports rose to a record US$302.0 billion. Undetermined at this time.

The U.S. trade deficit narrowed sharply in October, reaching its lowest level since June 2009. The Commerce Department and Census Bureau reported a 39.0% contraction in the trade gap to US$29.4 billion. Imports declined while exports rose to record levels. The release of the report had been delayed by a 43-day government shutdown. Key details: - The trade gap narrowed 39.0% to US$29.4 billion, the lowest level since June 2009. - Total imports decreased 3.2% to US$331.4 billion, and goods imports fell 4.5% to US$255.0 billion. - Exports rose 2.6% to a record US$302.0 billion, with goods exports up 3.8% to US$195.9 billion. - Consumer goods imports decreased US$14.0 billion, driven by a US$14.3 billion drop in pharmaceutical preparations, while capital goods imports increased US$6.8 billion, supported by computer accessories, telecommunications equipment and computers. - The goods trade deficit compressed 24.5% to US$59.1 billion, and economists polled by Reuters had previously forecast the deficit would rise to US$58.9 billion. Summary: The narrower trade deficit could allow trade to contribute to U.S. GDP growth in the fourth quarter. Undetermined at this time.