Corporate foreign exchange news

International payments jump in US

Thursday, 11 February 2010 08:35:18 GMT

Published by Mark Smith-Halvorsen
The US trade deficit jumped unexpectedly in December as the number of imports entering the country increased, the latest figures show.
By the end of the year, the trade deficit stood at $40.2 billion, up from $36.4 billion in November.
Analysts have attributed the unexpectedly large gap to a rise in international payments for foreign goods.
"We're at a stage of the recovery where you expect both exports and imports to rise. The good news is when imports and exports are rising, it is a sign you have economic growth," said Wade McCarthy, chief financial economist at Jefferies & Co, speaking to Bloomberg.
McCarthy's company was one of the few to anticipate a widening budget deficit ahead of the publication of the figures in the US yesterday (February 10th).
During foreign exchange trading this week, the dollar has still been supported by haven-buying activity, although it has pared some gains made during last week's rally.
For more information on international payments, visit out Smart FX site.
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