US trade deficit widened in August as exports hit 4-year low

FXStreet (Mumbai) - The official data released in the US on Tuesday showed the trade deficit in August increased by the most in five months as exports hit 4-year low, while imports picked up.

The commerce department showed the trade deficit rose 15.65 to USD 48.3 billion, beating the estimated rise to USD 48 billion from the July’s revised USD 41.8 billion.

Imports rose 1.2%, while exports decreased 2%. Weak overseas demand and a strong dollar weighed over the exports. Meanwhile, pick up in the imports may be read by many as a sign that sustained employment gains are translating into higher domestic demand.