US Advanced Goods Trade deficit is expected to widen - TDS

Research Team at TDS, suggests that the US Advanced Goods Trade deficit is expected to widen sharply in April following a $6bn improvement last month.

Key Quotes

“The market is expecting the deficit to increase from $56.9bn to $60.0bn while TD is slightly more constructive and sees a $58.9bn print as stronger oil prices drive imports higher.

We are also above the market on Markit Services PMI which we anticipate increasing to 53.4 in May following last month’s 52.8; the wider market is calling for a slight improvement to 53.0.

FHFA home prices, the final report of the day, are expected to advance by 0.5% m/m by the market while TD looks for a lesser 0.4% m/m gain. On the Fed calendar, we will hear from Harker, Kashkari and Kaplan, none of whom are voters in 2016.”