U.S. Trade Gap Narrowed in May as Goods Imports Slowed
By David Harrison
The U.S. trade deficit narrowed for the second straight month in
May, as a decrease in goods spending by American households held
down import growth while exports of energy products increased.
The trade gap in goods and services shrank 1.3% in May from the
previous month to $85.5 billion, the Commerce Department said
Thursday, down from April's revised $86.7 billion.
Imports rose 0.6% to $341.4 billion, driven by a rise in crude
oil imports. Exports rose 1.2% to $255.9 billion due to increased
exports of crude oil and natural gas.
Imports of consumer goods fell $1.5 billion as a result of
Americans' cooling appetite for goods purchases.
After splurging on furniture, electronics and appliances during
the pandemic-induced lockdowns, many households are now shifting
their spending to services such as restaurants or travel. Higher
consumer prices also are making goods less attractive to
At the same time, supply-chain disruptions caused businesses to
stockpile orders, which has left them with full inventories and no
room to store new products.
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(END) Dow Jones Newswires
July 07, 2022 09:10 ET (13:10 GMT)
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