FX.co ★ US Goods Trade Deficit Unexpectedly Widens

The US goods trade deficit widened to $132.6 billion in August 2026 from $118.9 billion in July, according to preliminary data. This was the largest gap since March 2025, when the deficit hit a record $158.7 billion, and it exceeded market expectations for a $115 billion shortfall. Imports rose 5.5% from the previous month to a 17‑month high of $336.1 billion, led by stronger purchases of industrial supplies (up 16.6%), food, feeds, and beverages (up 5.5%), and capital goods (up 4%). Exports also increased, breaking a three‑month losing streak, rising 1.9% to $203.4 billion, supported by higher shipments of industrial supplies (up 8.3%) and capital goods (up 2%). By contrast, exports of automotive vehicles fell 6.9%, and shipments of food, feeds, and beverages declined 5.6%.