MW: Q2 current account deficit narrows to 2.8 % of GDP
By Greg Robb
WASHINGTON (MarketWatch) - The U.S. current account deficit narrowed to $98.8 billion in the second quarter, or 2.8% of gross domestic product, the Commerce Department reported Wednesday. In percentage terms, this is the smallest deficit since the first quarter of 1999. In dollar terms, the deficit is the lowest since the fourth quarter of 2001. The deficit was $104.5 billion in the first quarter. The narrowing in the deficit was accounted by a reduction in the deficit on goods. Net financial inflows increased to $58.3 billion in the second quarter from $35.4 billion.in the first quarter. Foreign-owned assets in the second quarter increased $16.4 billion in the second quarter after a drop of $67.8 billion in the first quarter.[This report corrects the historical on the ratio of the current account deficit to GDP.]
