The US trade deficit fell to its lowest level in more than two years
The data of the US Department of Commerce released on Thursday, showed that the US trade deficit decreased during last November, by more than expected.
The ministry stated that the deficit decreased to $61.5 billion, compared to $77.8 billion, according to the revised data last October.
Analysts had expected the deficit to decline last November to $74 billion, compared to $78.2 billion, according to preliminary data during the previous month.
Last November, the deficit reached its lowest level since September 2020, when it recorded $59.1 billion.
The larger-than-expected drop in the trade deficit came after a drop in the value of imports by 6.4% to $313.4 billion, while exports fell by 2% to $251.9 billion.
Andrew Hunter, chief US economist at Capital Economics, said that the trade deficit will remain a minor obstacle to US economic growth during the last quarter of last year, but the most important element is domestic demand, which appears to be declining faster than the decline in external demand.
Data from the Ministry of Commerce indicate that the decline in the value of US imports is mainly due to the decline in industrial supplies, raw materials, cell phones, other home appliances, and pharmaceutical supplies.