–Income Surplus Rises, Unilateral Transfers Gap Narrowed
–3Q Current Account Gap Smallest Since 4Q 2009
By Kevin Kastner
WASHINGTON (MNI) – The U.S. current account deficit narrowed
sharply to $110.3 billion in the third quarter from at revised $124.7
billion in the previous quarter, as the income surplus grew and the
unilateral transfer gap and goods and services gap narrowed, data
released Thursday morning by the Commerce Department showed.
The income surplus grew to $58.3 billion in the third quarter from
$56.9 billion in the previous quarter, a change of $1.4 billion.
The unilateral transfers gap narrowed to $33.0 billion in the third
quarter from $35.4 billion in the previous quarter, an improvement of
$2.4 billion. There were large net purchases of US Treasuries by private
foreign buyers and smaller net purchases by foreign official buyers
The goods and services gap narrowed to $135.6 billion in
the third quarter from $146.2 billion in the previous quarter, a rise of
$10.6 billion.
The current account stood at 2.9% of GDP in the third quarter,
down from 3.3% in the previous quarter and the smallest percentage
since the fourth quarter of 2009.
Net financial flows excluding derivatives surged to $183.9 billion
in the third quarter from $35.4 billion in the second quarter, which did
include derivatives. The third quarter total was the highest since the
fourth quarter of 2008.
** Market News International Washington Bureau: 202-371-2121 **
[TOPICS: MAUDS$,MT$$$$,M$U$$$,MAUDR$]
