JUST IN: 🇺🇸 US trade deficit falls to lowest level since 2020. ...

For the week ending December 6, U.S. initial jobless claims were 236k, above the expected 220k, with the prior week's revised to 192k. The September trade deficit was $52.8 billion, better than the expected $63.3 billion, and revised from $59.6 billion to $59.3 billion. The trade deficit narrowed to the smallest since June 2020. ...

Thailand posts its widest trade deficit since early 2023, with a surge in imports of capital goods and raw materials from China, even as exports lost momentum after US buyers frontloaded purchases to beat higher tariffs https://t.co/oCCyQUzP6a ...

Market Overview - U.S. stocks experienced a positive session, with the Nasdaq Composite gaining over 100 points [1] - The Dow Jones closed higher by approximately 47 points at 46,138.77, while the S&P 500 rose 0.38% to 6,642.16 and the Nasdaq Composite increased by 0.59% to 22,564.23 [5] Federal Reserve Insights - The minutes from the Federal Open Market Committee (FOMC) meeting revealed a division among officials regarding the future path of interest rates, leading to uncertainty about a potential rate cut in December [2] Economic Data - U.S. exports of goods and services rose by $0.2 billion to $280.8 billion in August, while imports fell by 5.1% to $340.4 billion [3] - The U.S. trade deficit decreased to $59.6 billion in August from $78.2 billion in the previous month, which was better than market expectations of a $61 billion gap [3] Company Performance - Lowe's Companies Inc. (NYSE:LOW) shares increased by 4% after exceeding Wall Street profit expectations for the third quarter, although sales fell slightly short [4] - Target Corp. (NYSE:TGT) reported a profit that beat expectations but had disappointing sales and reduced its full-year earnings outlook [4] Sector Performance - Most sectors in the S&P 500 closed positively, with information technology, communication services, and materials stocks showing the largest gains [5] - Conversely, energy and utilities stocks did not follow the upward trend and closed lower [5] Upcoming Earnings - Investors are anticipating earnings results from Walmart Inc. (NYSE:WMT), Maximus Inc. (NYSE:MMS), and Intuit Inc. (NASDAQ:INTU) [6]

Market Sentiment - The CNN Money Fear and Greed index showed a slight decrease, remaining in the "Extreme Fear" zone with a reading of 11.45, down from 11.52 [7][8] - U.S. stocks experienced a positive session, with the Nasdaq Composite gaining over 100 points [1] Federal Reserve Insights - The minutes from the Federal Open Market Committee (FOMC) meeting revealed a division among officials regarding future interest rate paths, leading to uncertainty about a potential December rate cut [2] Economic Data - U.S. exports of goods and services rose by $0.2 billion to $280.8 billion in August, while imports fell by 5.1% to $340.4 billion, resulting in a reduced trade deficit of $59.6 billion, down from $78.2 billion [3] Company Performance - Lowe's Companies Inc. shares increased by 4% after exceeding profit expectations for the third quarter, although sales fell slightly short [4] - Target Corp. reported a profit beat for the third quarter but had disappointing sales and lowered its full-year earnings outlook [4] Sector Performance - Most sectors in the S&P 500 closed positively, with information technology, communication services, and materials stocks showing the largest gains, while energy and utilities sectors declined [5] - The Dow Jones increased by approximately 47 points, closing at 46,138.77, while the S&P 500 rose by 0.38% to 6,642.16, and the Nasdaq Composite gained 0.59% to 22,564.23 [5] Upcoming Earnings - Investors are anticipating earnings results from Walmart Inc., Maximus Inc., and Intuit Inc. [6]

Core Insights - The U.S. trade deficit fell sharply by nearly 24% in August, narrowing by $18.6 billion to a total of $59.6 billion, attributed to declining imports following new tariffs from the Trump administration [1][7]. Economic Impact - A narrowing trade deficit can indicate improved economic conditions, influencing prices and job availability. In August, imports declined by over 5% from July, while exports saw a slight increase [2]. - The improvement in the trade deficit is expected to positively impact third-quarter GDP, with the Atlanta Federal Reserve updating its GDPNow projection to 4.2% [4]. Trade Dynamics - The trade deficit has fluctuated throughout the year, with an initial increase due to a rush to import goods before tariffs were implemented, leading to a 0.6% contraction in economic growth in the first quarter. However, as imports decreased, GDP rose to 3.8% in the second quarter [5]. - Year-to-date through August, the U.S. trade deficit stands at $142.5 billion, reflecting a 25% increase compared to the same period in 2024 [6]. Tariff Effects - Imports from Canada fell by $1.7 billion due to a 35% tariff on non-USMCA products, while U.S. exports to Canada increased, reducing the trade deficit with Canada to $3 billion [8]. - Swiss imports to the U.S. dropped by $6.8 billion in August following a 39% tariff, which was later reduced to 15% after negotiations [9].

Group 1 - The S&P 500 and Nasdaq are experiencing gains ahead of Nvidia's earnings report and upcoming labor data [2] - August's trade deficit was narrower than expected, which is seen as a positive indicator for Q3 GDP as it suggests more U.S. spending on domestic goods and services [2] - Treasury yields have bounced back from an early decline, indicating an improved market sentiment on Wall Street [1]

U.S. Trade Deficit Shrank In August As Trump’s Tariffs Took Effect, Delayed Data Showshttps://t.co/sgDA1WR62U https://t.co/AT8kUaRUWK ...

Group 1: Currency Movements - The dollar index (DXY) increased by +0.39%, reaching a 1.5-week high, driven by weakness in the yen and a narrowing US trade deficit [1][3] - The yen fell to a 9.75-month low against the dollar due to dovish comments from a Japanese government advisor and concerns over Japan's increasing debt burden [6][1] - The euro declined by -0.23% to a 1-week low, influenced by the dollar's strength and central bank divergence, with the ECB expected to halt rate cuts while the Fed may continue to cut rates [4][5] Group 2: Economic Indicators - The US trade deficit for August narrowed to -$59.6 billion from -$78.2 billion in July, better than the expected -$60.4 billion [3] - US MBA mortgage applications decreased by -5.2% in the week ending November 14, with the average 30-year fixed mortgage rate rising to 6.37% [2] - Japanese core machine orders saw their largest increase in six months, and the 10-year Japanese government bond yield reached a 17-year high of 1.781% [7]

India’s trade deficit widened to a record in October as imports rose due to higher domestic demand after a cut in consumption tax, while outbound shipments fell due to US tariff policies https://t.co/USsS6fZBD5 ...