U.S. Imports Drop 19.8% in April (Yes, That’s a Record)

Imports of goods into the U.S. dropped a record 19.8% in April, according to estimates released by the U.S. Commerce Department on Friday. That drop is in sharp contrast to a 5.7% uptick of goods imported in March, widely believed to be driven by U.S. retailers and consumers buying in advance of President Donald Trump’s tariff threats, which are expected to cause prices to soar. The new estimates show that America’s trade deficit with the rest of the world narrowed by 46% to $87.6 billion, according to Marketwatch, much lower than the $143 billion projected by economists. And that should make President Trump very happy, since he’s obsessed with the trade deficit. But that’s not how any mainstream economist values the health of the U.S. economy. As countless economists have pointed out, the average consumer has a trade deficit with their barber or their local grocery store, but that doesn’t mean your barber is stealing from you, as Trump has characterized global trade relations. It ju ... Read full article.