U.S. trade deficit increases slightly to $27 billion

Today's report from the U.S. Commerce Department was mildly encouraging: The trade deficit rose slightly to $27 billion in June, though most of the increase was caused by higher prices, not volume. After eliminating the impact of inflation, the trade deficit actually fell to its lowest level since 1999.

Economists surveyed by Bloomberg News had expected the trade deficit to total $28.5 billion in June. In more good news, the trade deficit totaled a revised $26 billion in May, down from the $28.8 billion earlier estimate. The trade deficit totaled $29.2 billion in April and $28.5 billion in March.