The US trade deficit fell -6.1% MoM to $122.7 billion in February, below expectations of the deficit falling to $123.5 billion.

• The advance economic indicator report saw the US goods trade deficit down -4.9% MoM to $147.9 billion, above expectations of the deficit falling to $134.5 billion.
• Exports increased 2.9% MoM to $278.5 billion led by capital goods up $2.7 billion and industrial supplied & materials up $3.0 billion.
• February exports of goods ($178.6 billion) were the highest since August 2022 as importers attempted to front run tariffs.
• Imports were unchanged at $401.1 billion as some categories remained near record highs.
• Specifically, imports of capital goods ($89.4 billion) were the highest on record, and imports of consumer goods ($80.7 billion) were the highest on record
• The February quantity of crude oil imports (168.5 million barrels) was the lowest since February 2021.