Dollar sees narrow movement, US trade deficit balloons

Published on Jun 07, 2024 11:56

The US dollar index is witnessing very narrow movement as focus shifts to the critical nonfarm payrolls data on Friday. The index is holding around 104 mark, almost unchanged on the day. US equities were little changed yesterday and traders also focused on the ballooning of the trade deficit. With the value of imports jumping by much more than the value of exports, the Commerce Department noted that trade deficit widened significantly in the month of April. The Commerce Department said the trade deficit surged to $74.6 billion in April from a downwardly revised $68.6 billion in March. This reading marked the largest since the gap reached $75.3 billion in October 2022. The increase in the size of the trade deficit came as the value of imports surged by 2.4 percent to $338.2 billion in April after slumping by 1.5 percent to $330.2 billion in March.