Trade deficit rises to nine-month high in October

Washington

THE US trade deficit increased more than expected in October, hitting a nine-month high as rising oil prices helped to boost the import bill, suggesting that trade could be a drag on growth in the fourth quarter.

The Commerce Department said on Tuesday the trade gap widened 8.6 per cent to US$48.7 billion.

That was the highest level since January and followed an upwardly revised US$44.9 billion shortfall in September.

Economists polled by Reuters had forecast the trade deficit widening to US$47.5 billion in Octob…