U.S. trade deficit declines slightly - exports down

Good news is that the trade deficit narrowed but it looks like U.S. exports incredible run may be coming to an end in the near future as global demand cools and the U.S. dollar gains in strength. Then again, import demand is down as well, so it’s possible that the trade deficit will continue to narrow. Via American Shipper:

Exports in August were $3.4 billion less than in July, the Commerce Department announced Friday. Weak consumer demand in the United States resulted in a $5.5 billion decline in imports too, narrowing the trade deficit to $59.1 billion from $61.3 billion.

Year-to-date the trade deficit is $478 billion, a $7 billion increase over the same period last year (January through August). I imagine the final amount for 2008 will be fairly close to 2007, but still an enormously large number. It should be noted that the total reported trade deficit of 2007 was lower than both 2006 and 2005 as the stronger dollar and boom in exports helped to offset imports.