The US Trade Deficit Jumps to a Record High
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Economic growth in the United States of America is slowing as the country's trade deficit rises, reaching a record level last August.
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Economists expected the increase of trade deficit up to $70.5 billion
The US trade deficit jumped to a record high in August due to an increase in imports as companies rebuild inventories, after recording a slow economic growth in the third quarter of the year.
The US Commerce Department said on Tuesday that the trade deficit rose 4.2% to $73.3 billion last month, the highest level since the government began monitoring trade deficit data.
Economists had expected the trade gap to widen to $70.5 billion.
Goods imports increased 1.1% to $239.1 billion in August, while services imports increased $1.3 billion to $47.9 billion. In total, imports jumped 1.4% to $287.0 billion, the highest on record.
On the other hand, goods exports rose 0.7% to a record high of $149.7 billion, while services exports increased $0.1 billion to $64.0 billion.
In total, exports rose 0.5% to $213.7 billion in August, the highest since May 2019.
