COVID-Lockdowns Trump Trade War – US Deficit Soars To 14 Year High

It appears COVID-Lockdowns have crushed the US trade war plan…

The US trade balance collapsed to its biggest deficit since 2006 in August at $67.1bn…

Source: Bloomberg

This was worse than the $66.2bn expectation as total imports increased 3.2% to $239 billion, while exports rose 2.2% from the prior month to $171.9 billion.

The further increase in imports suggests companies responded to stronger domestic demand amid lean inventories.

The nation’s surplus in services shrank to the lowest since 2012 as the goods deficit hit a record high…

Source: Bloomberg

Interestingly the China trade balance improved very marginally in August

Source: Bloomberg

Is it any wonder why the USDollar is under pressure?