US Trade deficit widened in Feb by less than forecast

The US trade deficit widened in Feb by less than forecast as both imports and exports increased. The gap in goods and services trade grew 4.9% from the prior month to USD57.3bn (RM231.4bn), Commerce Department data showed.

The median estimate in a Bloomberg survey of economists called for an almost USD61bn deficit. Exports rose 4.2% in Feb, driven by gold and natural gas shipments.

US Trade deficit

Imports increased 4.3% on more inbound shipments of computers, semiconductors and automobiles. Goods imports rose an almost one-year high. Charges for the use of imported intellectual property also rose, which may reflect a temporary boost from broadcasting rights related to the Winter Olympics.

A year since US President Donald Trump unveiled his aggressive tariff regime, the monthly swings in the US trade balance continue to reflect the erratic roll-out of the policy.