NEW YORK (CNNMoney.com) — The trade deficit rose unexpectedly in October as U.S. exports plummeted, according to a government report released Thursday.
The U.S. Department of Commerce reported that imports exceeded exports by $57.2 billion, up from the $56.6 billion gap in September.
Economists had expected a $53.5 billion gap, according to a consensus estimate compiled by Briefing.com.
Strength in exports, which contributed to gross domestic product, has come to an abrupt halt as major trading partners in Europe and Asia feel the effects of a global recession, according to Bob Brusca, economist at Fact and Opinion Economics in New York.
“The economies overseas are getting hit with recession all of a sudden,” said Brusca.
“The bad news is that the growth rate in exports is falling very, very quickly,” he said. more