Source: Economics Group of Wells Fargo Bank, N.A.
Summary
The large widening in the trade balance can mostly be traced to just two import categories: nonmonetary gold and computers. While this may again partially reflect businesses pulling forward demand ahead of hiked tariff rates, it also reflects monthly volatility as well as a budding transition to a high-tech future. Trade flows remain a far cry from normal, and will remain in flux until trade policy finds a bottom.