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Greenspan: US May Restrain Trade Deficit

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Exporters enjoyed better fortunes in November, according to the latest figures. Thanks to UK firms shaking off the credit risk of selling goods and services abroad and winning new business, the UK trade deficit narrowed. The deficit on trade in goods and services dropped to á3.1 billion from á3.6 billion in October, while the goods deficit narrowed from á5 billion to á4.6 billion.

Currency Day Trading The head of the U.S. central bank says a variety of factors, from a weaker dollar to tougher budget discipline in Congress, may help restrain the rapid growth in the nation's trade deficit.

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H Trade Balance Department of Commerce; The second week of each month, 30am EST, covers month before previous data The largest component of a country's balance of payments. The balance of trade measures difference between the value of goods and services that a nation exports and the value of goods and services that it imports. A country has a trade deficit if it imports more than it exports, and the opposite scenario is a trade surplus. It is considered as a very big market mover.

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Forex Day Trading Feb 4, 2005 (AXcess News) Washington - The head of the U.S. central bank says a variety of factors, from a weaker dollar to tougher budget discipline in Congress, may help restrain the rapid growth in the nation's trade deficit.

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Financial In Market In remarks prepared for a speech in London, Federal Reserve Chairman Alan Greenspan cautioned that the unprecedented level of economic interaction between countries makes it difficult to predict what will happen to the U.S. trade deficit.

Stock Trading System Economists say that to finance the trade gap, the United States depends on the willingness of foreigners to lend money to the country through investments like stocks and bonds.

Day Trading Stock Tip Analysts worry that the declining dollar might prompt investors to abruptly sell their stocks, which could push the dollar down further and force interest rates up. That could slow the U.S. economy and hurt nations that export to the huge U.S. market.Advertisement

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