Overview
- The Commerce Department reported a $29.4 billion gap for October, down 39% from September as exports rose 2.6% to a record $302.0 billion and imports fell 3.2% to $331.4 billion.
- A surge in nonmonetary gold exports and a sharp drop in pharmaceutical imports drove much of the monthly move, and gold flows used for investment are largely excluded from GDP calculations.
- Analysts link the trade gyrations to 2025 tariff actions that spurred front‑loading and rerouting, while capital‑goods imports such as computers increased alongside AI‑related investment.
- Several forecasters raised fourth‑quarter growth estimates after the release, and a pending Supreme Court ruling on tariff authority could alter the policy landscape and future trade flows.
- Statistics Canada said October produced a C$583 million trade deficit as the U.S. share of Canadian exports fell to a multi‑decade low, with more shipments of gold to the U.K. and oil to China.