Trade Deficit: GDP Damage

Posted January 11, 2013 by rvillareal

The November trade deficit widened unexpectedly, and by a huge  $6.7 billion, (Consensus: narrow $1.0 billion; Decision Economics: narrow 0.2 billion) from an October level revised to be $0.2 billion narrower.  This will work to weaken fourth-quarter GDP estimates–and raise some concerns about the solidity of the export trend.