U.S. Trade Deficit Unexpectedly Widened on Imports

The U.S. trade deficit unexpectedly widened in February, reflecting a jump in imports of automobiles and machinery that swamped record exports.

The gap grew 5.7 percent to $62.3 billion, the highest since November, from a revised $59 billion in January, the Commerce Department said today in Washington. The 3.1 percent gain in imports was the biggest in almost a year, even as purchases of petroleum and goods from China dropped.

The increase in demand for products from overseas may be short lived as more recent evidence showed U.S. consumer and business spending has slowed. Exports rose for the 12th consecutive month, representing one of the few bright spots helping the economy avoid a deeper and longer recession.

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