Both exports and imports rebounded sharply in July, but the bigger gain in the latter means that the trade deficit widened to $63.5bn, from $53.5bn. Net external trade is on track to be a drag on third quarter GDP, but that will be offset by a positive contribution from inventories, so we still expect third quarter GDP growth will be 30% annualised.
Become a client to read more
This is premium content that requires an active Capital Economics subscription to view.
Already have an account?
You may already have access to this premium content as part of a paid subscription.
Sign in to read the content in full or get details of how you can access it
Register for free
Sign up for a free account to:
- Unlock additional content
- Register for Capital Economics events
- Receive email updates and economist-curated newsletters
- Request a free trial of our services