Updated: 04-Aug-17 09:38 ET
|Updated: 04-Aug-17 09:38 ET
- The trade balance report for June showed a narrowing in the trade deficit to $43.6 billion (Briefing.com consensus -$44.9 bln) from an upwardly revised $46.4 billion (from -$46.5 bln) in May.
- The narrowing deficit was the result of exports being $2.4 billion more than May exports and imports being $0.4 billion less than May imports.
- Capital goods, except automotive (+$0.8 bln), led the export increase while industrial supplies and materials (-$1.06 billion), pressured by a $1.41 billion decrease in crude oil imports, drove the import decline.
- The deficit with Mexico decreased $1.2 billion to $5.5 billion in June while the deficit with China increased $1.2 billion to $31.3 billion in June
- The key takeaway from the report is that it should factor favorably in the revision to Q2 GDP.