Preview: Due March 29 - U.S. February Advance Goods Trade Balance - Deficit to see third straight incrase
We expect an advance February goods trade deficit of $91.5bn, up from $90.5bn in January and the third straight increase in the deficit, albeit another modest one. The deficit would then be the widest since April 2023.
We expect both exports and imports to increase by 1.0%, with the gains coming roughly equally in both series from prices and volumes. Export volumes would be recovering from a modest decline in January, as hinted at by February manufacturing output correcting from a January decline.
Imports will be seeing a third straight increase in volumes, but a slower one than those seen in December and January which were correcting a steep November decline. While we expect exports and imports to rise at similar paces in February, this will mean a larger increase in imports in USD terms, and a wider deficit.
