Chillin' out till it needs to be funded
Most of the global economy being snared by a dullness in production and services, April’s Imports and Exports for the US followed the predictable OECD pattern of a duller import month led by a large fall in Petroleum imports as the Deficit trended down to $50.1 B ith Exports down 1% and imports 2%
That meant that the deficit kept trending down though the forecasts were off. The last year April deficit was lower by $6 B even as Exports have grown $7.2 B and Imports grew to $233 B. Most of the monhthly declines in Exports is explained by Capital Goods hich are don as a category worldwide and the Services surplus remained $14.9B much unchanged from March. However Food exports, Cars and other consumer goods exports’ did fall by $0.7 B, $0.4 B and $0.2 B respectively
Declining imports matched the same Capital Goods and Industrial Supplies categories while Foods were unchanged. March data was revised don on Balance of Payments basis by $0.5 B each in goods and $.18B for Services Exports and $0.9B for Services imports reducing royalties received.
Trade Deficits with China improved to $24.6B and OPEC ($11B) while deficits with Europe and Japan decreased to $8.7B and $6.3 B respectively.
Services Exports and Imports both seemd to be likely to suffer from reducing Travel with increases in Business Professional and Technical Services. YTD Services exports grew to $206B while Goods were $519 B
In the meantime Japan’s struggles with Trade surplus in April ere short lived as the Deficit for May is down 25% on year for the first 20 days’ data available hile April imports had surged 8% to debilitate the surplus figures after China also posed a questionable April data. China and Japan are already likely to do much better in May leading hope for others from Asia even as inflation fears recede in India
Non Petroleum goods deficit for US was a shrunk $36B while Petroleum deficit shrunk to $28B. (Services had the surplus)
French economic decline predicted(bbc.co.uk)