Source: Economics Group of Wells Fargo Bank, N.A.Summary Exports increased in January for the first time in five months, but a resilient domestic economy helped power an even larger gain in imports, particularly of autos and consumer goods. The result is a widening in the trade deficit, a trend we expect to reverse as consumer demand cools. Exports Surged, but Imports Grew Even Faster In a reversal of a trend decline that began in August 2022, exports increased in January for the first time in five months with all the gain coming on the goods side; service exports declined slightly. The net increase in overall exports was a stout $8.5 billion (chart). Somewhat remarkably, imports grew even faster adding $9.6 billion in the first month of the year with gains in both imported goods and services. READ FULL ARTICLE>>
