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| Version 1 | Version 2 |
|---|---|
| US trade deficit at six-year low | US trade deficit at six-year low |
| (20 minutes later) | |
| The US trade deficit fell to its lowest level in almost six years in December, as the slowdown in the economy put the brake on imports. | The US trade deficit fell to its lowest level in almost six years in December, as the slowdown in the economy put the brake on imports. |
| The monthly deficit, the difference between what the US exports and imports, narrowed 4% to $39.9bn (£27.7bn) from November's $41.6bn. | The monthly deficit, the difference between what the US exports and imports, narrowed 4% to $39.9bn (£27.7bn) from November's $41.6bn. |
| For 2008 as a whole, the deficit shrank 3.3% to $677bn, as the US slowdown intensified throughout the year. | For 2008 as a whole, the deficit shrank 3.3% to $677bn, as the US slowdown intensified throughout the year. |
| Both the monthly and annual deficit falls were more than had been expected. | Both the monthly and annual deficit falls were more than had been expected. |
| Job fears | Job fears |
| Official figures released last week showed that the US unemployment rate reached 7.6% in January, the highest rate since 1992. | Official figures released last week showed that the US unemployment rate reached 7.6% in January, the highest rate since 1992. |
| There is a lot of credit crunch impact on global trade Pierre Ellis, Decision Economics | |
| With more people out of work, and others concerned about their job security, US consumers have been cut back their spending. | With more people out of work, and others concerned about their job security, US consumers have been cut back their spending. |
| This has had the knock-on effect of reducing exports to the US from China and other nations with extensive production bases. | This has had the knock-on effect of reducing exports to the US from China and other nations with extensive production bases. |
| As a result, imports into the US fell 5.5% to $173.7bn in December. Imports from China were down 11.3%. | As a result, imports into the US fell 5.5% to $173.7bn in December. Imports from China were down 11.3%. |
| At the same time, US exports also declined, falling 6% to $133.8bn. | At the same time, US exports also declined, falling 6% to $133.8bn. |
| "There is a lot of credit crunch impact on global trade," said Pierre Ellis, senior global economist with Decision Economics in New York. | |
| "Obviously, this is bad news for the economy, the export weakness is intensifying." |