by Calculated Risk on 5/06/2014 08:44:00 AM

The Department of Commerce reported this morning:

[T]otal March exports of $193.9 billion and imports of $234.3 billion resulted in a goods and services deficit of $40.4 billion, down from $41.9 billion in February, revised. March exports were $3.9 billion more than February exports of $190.0 billion. March imports were $2.5 billion more than February imports of $231.8 billion.

The trade deficit was close to the consensus forecast of $40.2 billion.

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

Click on graph for larger image.

Both imports and exports increased in March.  

Exports are 17% above the pre-recession peak and up 5% compared to March 2013; imports are about 1% above the pre-recession peak, and up about 5% compared to March 2013. 

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

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 $93.91 in March, up from $90.21 in February, and down from $96.95 in March 2013.  The petroleum deficit has generally been declining and is the major reason the overall deficit has declined since early 2012.

The trade deficit with China increased to $20.4 billion in March, from $17.9 billion in March 2013.  About half of the trade deficit is related to China.

Overall it appears trade is picking up slightly.