US goods trade deficit to narrow slightly to $74.0bn - Nomura

According to the Census Bureau, the deficit in trade in goods widened in January to $75.3bn as exports of goods fell 2.4% m-o-m, broadening the trade gap in goods, points out the research team at Nomura.

Key Quotes

“Imports of goods were weak after a solid increase in Q4. Weaker goods imports in January appear consistent with weaker personal spending in the month. For February, we expect the goods trade deficit to narrow slightly to $74.0bn, as goods exports rebound. Incoming data on outbound container shipments at major US seaports rose decently pointing to elevated export activity, consistent with healthy demand from abroad for goods produced in the US.”