Article: nation.(Front)

Trade balance drops by 3.5% in August

WASHINGTON | The U.S. trade deficit unexpectedly narrowed in August as exports posted a small gain, while imports fell on a big drop in demand for foreign oil. The fourth consecutive rise in exports was an encouraging sign that the global economy has started to recover.

But many economists expect the deficit to rise in coming months on the back of a rebounding U.S. economy, which will start importing more foreign products.

The Commerce Department said Friday that the trade deficit declined 3.5 percent to $30.7 billion, surprising economists who had expected higher oil prices to push the imbalance to $33 ...

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