Aug 5 (Reuters) - The U.S. trade deficit narrowed in June on a sharp drop in consumer goods imports, the latest evidence of the imprint on global commerce President Donald Trump is making with sweeping tariffs on imported goods.
The overall trade gap narrowed 16.0% in June to $60.2 billion, the Commerce Department’s Bureau of Economic Analysis said on Tuesday. Days after reporting that the goods trade deficit tumbled 10.8% to its lowest since September 2023, the government said the full deficit including services also was its narrowest since September 2023.
Exports of goods and services totaled $277.3 billion, down from more than $278 billion in May, while total imports were $337.5 billion, down from $350.3 billion.
We can no longer trust numbers supplied from the government
Trade is decreasing because people aren’t buying.
Trade is decreasing because companies don’t have any more room left in warehouses since they stocked up to avoid future tariffs so there was a bump and now there is a dip.
Companies have decreased investment in domestic production because the cost to import the equipment needed is going up and they have to make 15 year projections with unreliable data so they are holding still.
“Trade deficit” is a dumb thing to care about, what happened to republicans wanting a free and unfettered market?
Both numbers going down is Really really bad
Yes. Both less jobs in export sectors, although it is down marginally instead of keeping up with supposed GDP growth, and more scarce goods, as inventory levels fall off.
Uncertainty in the market is going to slow down trade, yes.
