The nominal trade deficit narrowed for the second consecutive month in June to $41.5 billion as exports increased slightly while imports fell. June’s decline in imports was relatively broad-based, with a notable $1.1 billion drop in imports of goods classified under the “cell phones and other household goods” category. The increase in exports in June was driven by higher exports of consumer goods and automotive products.
At a quarterly frequency, export activity rebounded in the second quarter after a sharp decline in the previous quarter, and import growth accelerated over the same period.
On a year-over-year basis, growth of both exports and imports remained lackluster in June, continuing on a low trajectory compared with recent history (excluding plunges in international trade during past recessions).
