The following report is from the Trends Journal:
Loosening supply lines and U.S. consumers’ unrelenting demand for goods pushed November’s trade deficit in merchandise to $99 billion as holiday shopping intensified, especially for cell phones, clothing, and toys, The Wall Street Journal reported.
The month’s overall deficit in goods and services combined was $80.2 billion.
Manufacturers exported less, due to kinked shipping lines and shortages of workers and materials; but spending by tourists increased as COVID restrictions loosened.
The trade deficit likely will stay higher in December and January due to the backlog of ships waiting at U.S. ports and headwinds to tourism from Omicron.
Economist Bill Adams at PNC Financial Services wrote in a research note quoted by the WSJ.
TRENDPOST: In large measure, Donald Trump gained the presidency by promising to shrink the U.S. trade deficit. However, as we continued to detail—as with his building “The Wall” that was barely built and repairing the nations’ rotting infrastructure that is still rotting—his trade deals were more Trump talk and no real action. However, President Trump did keep his promise to again rig the tax laws which enriched himself and the one percent.
Yet on the trade deficit front, it continued to grow during his administration—a trend we followed in articles such as “U.S. Trade Deficit Widens Again in May” (13 Jul 2021) and “August Trade Deficit Sets Record” (12 Oct 2021)—and remains near record levels, largely because Americans continue to buy, buy, buy.
TREND FORECAST: Until America becomes more of a self-sustaining economy and brings more manufacturing back home, the trade deficit will continue to increase as Americans keep buying the newest smartphone, four televisions in their homes, and a new wardrobe every season.
AUTHOR COMMENTARY
Ye ask, and receive not, because ye ask amiss, that ye may consume it upon your lusts.
James 4:3
This nation is a nation of consumption, and all this dead nation can do is get more and more into debt. The economy is already over, but the media would STILL have you to believe that the economy is booming, even though inflation is at a 40-year high, record unemployment numbers, debt to GDP ratios are off the chart, homelessness continues to grow, money velocity at all-time record lows, money supply continuing to expand; and on and on.
[7] Who goeth a warfare any time at his own charges? who planteth a vineyard, and eateth not of the fruit thereof? or who feedeth a flock, and eateth not of the milk of the flock? [8] Say I these things as a man? or saith not the law the same also? [9] For it is written in the law of Moses, Thou shalt not muzzle the mouth of the ox that treadeth out the corn. Doth God take care for oxen? [10] Or saith he it altogether for our sakes? For our sakes, no doubt, this is written: that he that ploweth should plow in hope; and that he that thresheth in hope should be partaker of his hope. (1 Corinthians 9:7-10).
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