US recorded trade deficit of $43.4bn in December, on par with Barclays forecast of $43.5bn and consensus expectations of $43.2bn. In December, nominal goods exports dropped 0.6% m/m, as compared with the earlier estimate of a drop of 1.3%. Meanwhile, imports increased 0.3% m/m, as compared with the earlier estimate of a drop of 2.1%.
In the month, services trade balance rebound moderately, growing 0.5% m/m, as compared with the earlier estimate of a drop of 0.2%. Imports grew 0.3% m/m, as compared with the estimate of 0.3%. The real goods deficit broadened to $60.3bn in December, as compared with the earlier projection of $59.3bn, mainly due to the nonpetroleum balance of $56.6bn.
"On balance, the official December trade data support our view that the stronger dollar and weak foreign growth will prove a persistent drag on US growth", says Barclays.
