The advance goods trade deficit widened to $98.5B in December (+19.0% MoM), alongside modest inventory changes.

• Goods exports fell to $180.0B (-$5.6B MoM), while goods imports rose to $278.6B (+$10.2B MoM), showing the deficit increase was driven by both weaker exports and stronger imports.

• Wholesale inventories increased +0.2% MoM to $917.2B and were +2.8% YoY, indicating continued stock accumulation relative to last year.

• The October to November wholesale inventory change remained unrevised at +0.2% MoM, suggesting stable recent inventory growth.

• Retail inventories were essentially flat at $812.5B (0.0% MoM) and +0.8% YoY, pointing to little month-to-month change but modest annual growth.

• The October to November retail inventory change was revised down to -0.5% MoM (from -0.1%), indicating weaker prior stock building than previously estimated.