U.S. trade deficit narrows in August on oil import drop

Notch another encouraging data point for the U.S. economy. The nation's trade deficit fell to $30.7 billion in August, driven lower by a large decline in imported oil purchases, the U.S. Commerce Department announced Friday.

Economists surveyed by Bloomberg News had expected the trade deficit to total $33.0 billion in August. The trade deficit totaled a revised $31.9 billion in July and $27.5 billion in June. In the first eight months of 2009, real (inflation adjusted) exports have plummeted 18.2 percent, but real imports have plunged more, 19.6 percent.