US Trade Deficit Narrows to $73.3 Billion as Imports Fall in June
Speakers
Michael McKee
— International Economics & Policy Correspondent, Bloomberg
Summary
The US trade deficit narrowed to $73.3 billion in June as imports fell 1.8% and exports fell 0.9%. Bloomberg's Michael McKee explains that the decline follows an AI-related import surge earlier in the quarter that contributed to Q2 GDP weakness. He questions whether this weakness will reverse in the current quarter.
- US trade gap shrank 5.6% to $73.3 billion in June
- Imports fell 1.8%, the first decline this year; exports fell 0.9%
- Preliminary report showed a $101 billion deficit due to AI-related import rush
- AI construction demand and tariff front-running drove earlier import surge
- Trade data explains part of the Q2 GDP weakness
- Key question: will the import decline reverse this quarter?
