FX.co ★ US Current Account Deficit Widens More than Expected

The US current account deficit widened to a seasonally adjusted $226.8 billion in the first quarter of 2026, up from a revised $221.1 billion in the fourth quarter of 2025. This deterioration occurred despite the presidential administration’s highly publicized efforts to narrow the external imbalance through tariffs, as well as increased energy export volumes in March, when the war in the Middle East drove up prices for oil, fuel, and gas. A shift in the primary income account from surplus to deficit outweighed the improvement in the goods balance, resulting in a larger overall current account shortfall.