Ashraf Laidi Deficit Quotations

Given the aforementioned dynamics, it is more probable for the U.S. trade deficit to continue soaring to record highs than it is probable for foreign capital flows to keep up with swelling imbalance,

We can expect to see worse numbers to come. The simple reason is when there is a rise in oil prices that increase in oil price for a particular month does not tend to spill over into the trade deficit until the next month.

This does not mean that currency markets have completely eliminated all concerns about the trade deficit when assessing the dollar,