by Calculated Risk on 11/04/2014 08:43:00 AM

Earlier the Department of Commerce reported:

[T]otal September exports of $195.6 billion and imports of $238.6 billion resulted in a goods and services deficit of $43.0 billion, up from $40.0 billion in August, revised. September exports were $3.0 billion less than August exports of $198.6 billion. September imports were $0.1 billion more than August imports of $238.6 billion.

The trade deficit was larger than the consensus forecast of $40.7 billion and the trade deficit was revised down slightly for August.

The first graph shows the monthly U.S. exports and imports in dollars through September 2014.

Click on graph for larger image.

Imports increased slightly and exports decreased in August.  

Exports are 18% above the pre-recession peak and up 3% compared to September 2013; imports are 3% above the pre-recession peak, and up about 3% compared to September 2013. 

The second graph shows the U.S. trade deficit, with and without petroleum, through September.

The blue line is the total deficit, and the black line is the petroleum deficit, and the red line is the trade deficit ex-petroleum products.

Oil imports averaged $92.54 in September, down from $96.32 in August, and down from $102.00 in September 2013.  The petroleum deficit has generally been declining and is the major reason the overall deficit has declined since early 2012.  Oil prices will really decline in the October and November reports!

The trade deficit with China increased to $35.6 billion in September, from $30.6 billion in September 2013.  The deficit with China is almost all of the overall deficit.