The U.S. trade deficit declined to the lowest level in almost two years as exports rose to a record high, a gain that is not expected to last given the global economic slowdown. U.S. exports climbed 3.1 percent to an all-time high of $187 billion.
The U.S. trade deficit fell to its lowest level in 18 months in June, pushed down by a steep drop in oil imports and a small rise in exports. The trade gap narrowed to $42.9 billion in June, down from $48 billion in May, the Commerce Department said Thursday.
China has achieved a "soft landing" in its economic slowdown, the IMF says, while cautioning that more sweeping reforms are needed to ensure healthy growth in the longer term.
China's trade growth plunged in June, hurt by weak U.S. and European demand and a Chinese slowdown, with a potential impact on economies as far-flung as Africa and Australia.
Two days of talks with a high-level delegation from China produced results that should benefit U.S. companies ranging from manufacturers of computer software and wind turbines to beef producers.
Aided by a decline in imports and a two-year high in exports, the U.S. trade deficit unexpectedly plunged 5.3% in September to $44 billion. Strong commercial airline orders helped boost the export total. Further, if the dollar remains at present levels, that will likely lead to more export gains in the months ahead -- something that will boost the revenue of many U.S. corporations with substantial international customers.
