Only thing I can say about today's trade deficit release is WOW. One can and should consider it a positive for the US economy and USD in the long run, but in the short run this indicates a complete meltdown of the global trade...If you have open long positions in any companies heavily dependent on trade- dryshippers etc etc- watch out!
WASHINGTON -- The U.S. trade deficit contracted by the most in 12 years during November as the recession sent oil prices into a record plunge and restrained demand for a wide range of foreign goods from crude and cars to coffee and computers.
The U.S. deficit in international trade of goods and services plunged by 28.7% to $40.44 billion from October's revised $56.69 billion, the Commerce Department said Tuesday. Originally, the October deficit was estimated at $57.19 billion.
The U.S. deficit with China shrank to its lowest in five months, to $23.06 billion from $27.96 billion during October. The June 2008 deficit was $21.4 billion.
The overall U.S. trade deficit of $40.44 billion was much smaller than expected by Wall Street. Economists surveyed by Dow Jones Newswires estimated a $51.0 billion shortfall in November. The $40.44 billion gap was the smallest since $40.0 billion in November 2003. The 28.7% drop was the largest since 34.9% in October 1996.
U.S. exports in November declined 5.8% to $142.80 billion from $151.54 billion.
Imports fell 12.0% to $183.25 billion from $208.23 billion, with Americans buying less amid the sinking economy
