Balance of Trade

Previous: $-78.8B

Forecast:

The balance of trade measures the difference in value between imported and exported goods and services. Higher than expected balance of trade is bullish, while lower than expected balance of trade is bearish.

The trade deficit in the US widened to $78.8 billion in July 2024, the biggest gap since June 2022, compared to a $73 billion shortfall in June and roughly in line with market forecasts. Exports increased 0.5% to a record high of $266.6 billion, due to semiconductors, government goods and financial services while there was a decline in shipments of passenger cars and gem diamonds. Meanwhile, imports soared 2.1% to $345.4 billion, the highest value since March 2022, led by purchases of computer accessories, nonmonetary gold, finished metal shapes, charges for the use of intellectual property and transport. Imports of travel on the other hand, decreased. The deficit with China increased $4.9 billion to $27.2 billion, as exports decreased $1.0 billion to $11.5 billion and imports were up $3.9 billion to $38.7 billion. The trade gap with Canada also widened $3.0 billion to $7.6 billion, as exports fell $1.4 billion to $27.3 billion and imports rose $1.7 billion to $35.0 billion. source: Bureau of Economic Analysis (BEA)