Post Reply 
 
Thread Rating:
  • 0 Vote(s) - 0 Average
  • 1
  • 2
  • 3
  • 4
  • 5
US trade gap widens 18.2pc in September
11-14-2009, 06:45 AM
Post: #1
US trade gap widens 18.2pc in September
WASHINGTON: The US trade deficit widened in September by an unexpectedly large 18.2 per cent, the largest increase in more than 10 years, as oil prices rose for the seventh straight month and imports from China bounded higher.

Adding urgency to talks President Barack Obama will have with Chinese leaders in coming days, the monthly trade gap grew to $36.5 billion, from a slightly revised estimate of $30.8 billion in August, the Commerce Department said on Friday.

The monthly trade gap grew to $36.5 billion, from a slightly revised estimate of $30.8 billion in August, the Commerce Department said on Friday.

Wall Street analysts had expected the shortfall to grow modestly in September to around $31.65 billion.

Both US exports and imports had their best month since December 2008. But in a sign of renewed US economic growth, imports grew 5.8 per cent in September, the biggest monthly gain since March 1993, while exports rose 2.9 per cent.

Some analysts had expected more of an export boost because the drop in the value of the dollar against other major currencies makes American goods more competitive overseas.

But “the overall upturn in US demand is trumping the fall of the dollar,” said Craig Peckham, an equity trading strategist with Jefferies and Company in New York. Imports of industrial supplies and materials showed the biggest gain in September, suggesting that US manufacturers are ramping up for production.

International trade flows are picking up as massive stimulus from governments and central banks lift the global economy out of its deepest swoon since the 1930s.

The EU statistics office Eurostate said the euro-zone economy grew 0.4 per cent in the third quarter from the second quarter, snapping the region’s recession.

The US government said last month the US economy grew at an annual rate 3.5 per cent in the third quarter after four contractionary quarters.

The average price for imported oil leapt to $68.17 per barrel and imports from the Organisation of Petroleum Export Countries increased to $11.9 billion in September, both the highest since November 2008.

A separate report showed US import prices rose for the third straight month in October, pushed up by a jump in the cost of fuel imports and the depreciating dollar. Import prices advanced 0.7 per cent after a revised 0.2 per cent increase in September that was previously reported as a 0.1 per cent gain, the Labour Department said.

The weak US dollar is helping to lift US exports, but at the same time, analysts cite it as a factor pushing up the price of oil and other commodities.

The US dollar extended losses against the yen after the trade data. US stock index futures held gains, while US Treasury debt prices were steady at lower levels. “Although import prices were up, they were up less than expected. Again, with the weak dollar, you would have thought you would have seen more inflation on import prices,” said Tim Ghriskey, chief investment officer with Solaris Asset Management in Bedford Hills New York.

http://www.thenews.com.pk/daily_detail.asp?id=208380
Quote this message in a reply
Post Reply 


Possibly Related Threads...
Thread: Author Replies: Views: Last Post
  $15bn trade target set for 2015 is achievable’ Salman 0 4,291 04-16-2013 12:55 PM
Last Post: Salman
  LDA Trade Centre’s auction today Salman 0 4,809 09-18-2012 03:15 PM
Last Post: Salman
  Pakistan for trade expansion with China Salman 0 4,205 04-11-2012 12:44 PM
Last Post: Salman
  PM for increased trade among Asian countries Salman 0 3,813 04-04-2012 01:26 PM
Last Post: Salman
  Pak-India trade moot to take place on 4th Salman 0 3,622 04-02-2012 12:48 PM
Last Post: Salman
  Pakistan to explore new trade opportunities with New Zealand Salman 0 3,813 03-17-2012 02:20 PM
Last Post: Salman
  UAE investment and trade with Pakistan stands out Salman 0 3,910 02-13-2012 11:53 AM
Last Post: Salman
  ‘Pak trade to get boost even if it captures 1% of India’s market Salman 0 4,118 02-06-2012 01:25 PM
Last Post: Salman
  EU urges Pakistan to enhance trade with ECO countries Salman 0 4,276 12-27-2011 02:03 PM
Last Post: Salman
  Use Gwadar Port for Afghan Transit Trade: CM LRE 2 7,911 12-19-2011 12:31 PM
Last Post: LRE
  Trade volume between Pakistan, Sri Lanka could exceed $1bn Salman 0 4,325 12-14-2011 11:51 AM
Last Post: Salman
  Pak-Turk PTA may achieve $2bn trade target Salman 0 4,675 12-14-2011 11:49 AM
Last Post: Salman
  Quetta : Gwadar will be a centre for trade, says Raisani Salman 0 4,018 12-05-2011 03:36 PM
Last Post: Salman
  Toyota trade scheme to facilitate its value customers Lahore_Real_Estate 0 3,412 10-22-2011 01:38 PM
Last Post: Lahore_Real_Estate
  Trade exhibitions promote int’l business in Pakistan Lahore_Real_Estate 0 3,449 06-18-2011 11:24 AM
Last Post: Lahore_Real_Estate
  1,123-kanal trade centre in the offing Lahore_Real_Estate 0 3,761 05-23-2011 04:58 PM
Last Post: Lahore_Real_Estate
  LDA to set up finance, trade centre Lahore_Real_Estate 0 3,855 05-21-2011 11:59 AM
Last Post: Lahore_Real_Estate
  Gwadar suitable for Afghan transit trade, says CM LRE 2 6,302 01-22-2011 01:08 AM
Last Post: LRE
  Pak PM in Oman; Gwadar, maritime trade top agenda LRE 0 4,327 12-29-2010 11:20 AM
Last Post: LRE
  Oil lower in Asian trade Lahore_Real_Estate 0 3,052 10-27-2010 02:44 PM
Last Post: Lahore_Real_Estate

Forum Jump:


User(s) browsing this thread: 1 Guest(s)