![](https://econ70.com/wp-content/plugins/bb-plugin/img/pixel.png)
TRADE TRAVAILS
07/10/2024 |
The U.S. trade deficit steadily improved from a monthly high of $102 billion in 3/22 to $60 billion in 8/23, and the improvement unsurprisingly boosted GDP growth. Since then, however, it has worsened in eight of the last nine months and now stands at -$75 billion. The worsening trade deficit reduced 24Q1 GDP by 0.65 of a percentage point and the 24Q2 impact is likely to be meaningfully worse.