April Trade Deficit in U.S. Narrows More Than Forecast

A container ship waits to unload cargo near the Port of Los Angeles.

Photographer: Patrick T. Fallon/Bloomberg
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The trade deficit in the U.S. narrowed more than forecast in April as imports receded, signaling merchandise flows were returning to normal following a port-related surge.

The gap shrank by 19.2 percent to $40.9 billion from the prior month’s $50.6 billion that was the widest in more than three years, Commerce Department figures showed Wednesday in Washington. The median forecast in a Bloomberg survey of 72 economists called for a deficit of $44 billion. Purchases of foreign-made goods declined after the end of a labor dispute at West Coast ports caused them to jump in March.