Trade Deficit Surpasses Forecasts

Washington, DC, Aug. 11, 2010--The trade deficit grew 18.8% in June on a surge of consumer goods from China and other suppliers, the Commerce Department said.

The monthly trade gap totaled $49.9 billion, the highest since October 2008.

The deficit was wider than any of the 67 Wall Street forecasts collected before the report, and is likely to prompt analysts to ratchet down estimates of second-quarter gross domestic product growth.

U.S. imports of goods and services grew 3% in June to $200.3 billion, the highest since October 2008, in a show of strengthening domestic demand. Imports of consumer goods hit a record $43.1 billion and imports of non-petroleum goods were the highest since August 2008.

Imports from China hit $32.9 billion, the highest since October 2008.