Trade Gap Widens More Than Expected

WASHINGTON (TheStreet) -- The trade deficit expanded in September by a larger-than-expected margin, the Commerce Department said Friday.

The gap widened by 18.5% to $36.5 billion from August, greater than the $31.7 billion expected by economists and market analysts.

Both imports and exports rose during September. Total exports in the month grew 2.9% to $132 billion from August; imports grew 5.8% to $168.4 billion.

Brisker sales of capital goods (such as heavy machinery) and industrial supplies and materials drove the fifth straight month of export growth.

Crude oil imports, meanwhile, jumped 26% from August to $19.5 billion, and were largely responsible for the import gains as overseas oil prices have approached year highs.

Stripping services out of the equation, exports of goods rose by 4% to $90.3 billion, outstripped by imports of goods, which jumped 7% to $138 billion.

-- Written by Scott Eden in New York

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