Keeping you up to date on the latest data releases.
- Current Account
In the fourth quarter of 2011, the U.S. current account deficit expanded to −$124.1 billion, a $16.5 billion increase from the third quarter’s downwardly revised −$107.6 billion deficit (−$110.3 billion, previously). The deficit in the fourth quarter was nearly $10 billion more than consensus forecasts had predicted. Additionally, the deficit widened to the largest level in three years. As a percentage of GDP, the deficit marked 3.2 percent, up from the third quarter’s two year low of 2.9 percent. Main drivers behind the widening of the current account deficit were an increase in the trade deficit by $6.4 billion to −$141.1 billion (−$134.7 billion, previously) and a decrease in the surplus on income by $10.3 billion to $50.3 billion ($60.6 billion, previously). The expansion of the trade deficit is consistent with international trade data that shows imports growing faster than exports.