Home Logon FTA Investment Managers Blog Subscribe About Us Contact Us

Search by Ticker, Keyword or CUSIP       
 
 

Blog Home
   Brian Wesbury
Chief Economist
 
Bio
X •  LinkedIn
   Bob Stein
Deputy Chief Economist
Bio
X •  LinkedIn
 
  Trade defiict shrank by $6.8 billion in July
Posted Under: Data Watch • Trade
Supporting Image for Blog Post

 
Implications:  Exports boomed in July, helping push down the trade deficit far more than the consensus expected.  In fact, of the 74 economic groups that forecast the trade deficit, none thought it would be this low.  Exports of autos and related parts led the way but exports also increased substantially for oil and capital goods outside the auto sector, such as telecomm equipment.  We still have two months to go, but it looks like trade will make a positive contribution to real GDP growth in the third quarter, which is so far shaping up much better than the first half of the year.  Meanwhile, revisions to prior months – for both trade and construction – suggest real GDP growth will be revised up slightly for Q2.  Beneath the headlines, the total volume of international trade in and out of the US – imports plus exports – rebounded in July after a temporary setback in June.  We expect the total volume of trade to continue on an upward trend in the second half of the year.  In other news this morning, new claims for unemployment insurance increased 2,000 last week to 414,000.  Continuing claims for regular state benefits dropped 30,000 to 3.72 million.  These numbers are not at all consistent with a recession.

Click here to view the entire report.
Posted on Thursday, September 8, 2011 @ 9:35 AM • Post Link Print this post Printer Friendly

These posts were prepared by First Trust Advisors L.P., and reflect the current opinion of the authors. They are based upon sources and data believed to be accurate and reliable. Opinions and forward looking statements expressed are subject to change without notice. This information does not constitute a solicitation or an offer to buy or sell any security.
 
The information presented is not intended to constitute an investment recommendation for, or advice to, any specific person. By providing this information, First Trust is not undertaking to give advice in any fiduciary capacity within the meaning of ERISA, the Internal Revenue Code or any other regulatory framework. Financial professionals are responsible for evaluating investment risks independently and for exercising independent judgment in determining whether investments are appropriate for their clients.
Follow First Trust:  
First Trust Portfolios L.P.  Member SIPC and FINRA. (Form CRS)   •  First Trust Advisors L.P. (Form CRS)
Home |  Important Legal Information |  Privacy Policy |  California Privacy Policy |  Business Continuity Plan |  FINRA BrokerCheck
Copyright © 2024 All rights reserved.