US advance goods trade deficit projected to increase to $59.7b in May - TDS

Research Team at TDS, suggests that the drag from the US external sector is expected to intensify in May, with TD projecting an increase in the advance goods trade deficit to $59.7b (mkt $59.5b) due to weakening global demand as well as higher energy prices. 

Key Quotes

“The flash Markit Services PMI for June is expected by TD/mkt to improve to 52.0 from 51.3.  Lastly, the Dallas Fed Index should bounce back following a sharp decline in May. TD is slightly above market –15.5 and looks for –14.0.”