Japan quake trims U.S. trade gap in April

Marketwatch ^ | 6.8.11 | Greg Robb

[Free Vulcan]

WASHINGTON (MarketWatch) — The U.S. trade deficit narrowed sharply in April as imports from Japan were curtailed due to the earthquake, the Commerce Department reported Thursday.

The nation’s trade deficit narrowed 6.7% in April to $43.7 billion from a revised $46.8 billion in March, the Commerce Department said.

[Free Vulcan]

Over half of the deficit is imported oil. Our exports are at an all-time high including exported petroleum. Drill our own oil anyone?

That and keep pushing China to float their own currency while fixing our budget problems. We can get out of the problems we are in, we just don't have the political will.

[BfloGuy]

You're right on the drilling. The Arabs and the Venezuelans have no particular comparative advantage in oil production. In fact -- given our enormous capital structure -- we could probably produce it more efficiently.

The Arabs do have one advantage, though. No Dems.

As for the Chinese currency stuff, jawboning them won't accomplish a thing. We are to blame for our own situation. The Fed must stop printing money and the Congress must balance the budget.

With no inflation and a balanced budget, the trade deficit would disappear within a decade on its own with no tariffs or legislation needed. How do you think the Germans do it year after year?

[jagusafr]

“The U.S. trade deficit narrowed sharply in April as imports from Japan were curtailed due to the earthquake, the Commerce Department reported Thursday.”

Well, that’s a glass-half-full observation right there...