WASHINGTON – The trade deficit of the United States grew in October amid falling exports and reduced demand for US petroleum and natural gas, according to the US Bureau of Economic Analysis and the US Census Bureau.
Xinhua reported that the deficit increased from US$74.1 billion (RM326.48 billion) in September’s revised figure to US$78.2 billion in October, as imports increased and exports decreased.
The goods deficit increased US$6.1 billion in October to US$99.6 billion.
Exports dropped 0.7% to US$256.6 billion, mirroring fewer petroleum, pharmaceuticals, and natural gas shipments.
Imports grew because of increased US energy buys, as well as pharmaceuticals and autos, with a jump of 0.6% to US$334.8 billion.
October also saw an increase in consumer spending, in spite of record inflation and fears of a possible recession late next year.
Both Wall Street and Main Street have expressed concerns over the current state of the economy. While unemployment is low, inflation stands at a four-decade high.
That has spurred the US Federal Reserve to embark on the most aggressive rate-hike cycle in four decades, in a bid to tamp down stubborn inflation.
Rate hikes have hammered the US stock market and made it far more difficult for potential buyers to purchase homes. – Bernama, December 7, 2022