And that’s a good thing, sorta. Economists had expected the trade deficit to contract to $36 bln in December on a collapse in demand but it slipped only to $39.9 versus $41.6 bln in November. The data does show an inexorable slide in demand for goods, a symptom on a weak economy. The trade gap with China narrowed to $$19.9 bln from 23 bln the prior month, it should be noted. The deficit is at a roughly 5 year low, at the moment.
EUR/USD is edging higher in its range, in an area where central bank selling was eyed earlier in the session. There is little until the 1.3075/95 region to constrain EUR/USD should it break higher.
