Current Account Deficit Narrowed In 4th Quarter

The nation's current account deficit narrowed in the fourth quarter to $125.3 billion from a revised third-quarter deficit of $129.9 billion. The improvement reflects a smaller trade deficit for goods and a larger trade surplus for services. Balances on income were neutral.

The current account as a percentage of GDP slipped 1 tenth from the third quarter to a very respectable 2.8 percent. For 2015 as a whole, the current account deficit totaled $484.1 billion, equal to 2.7 percent of GDP and up from $389.5 billion and an even lower 2.2 percent of GDP in full-year 2014.

Recent History Of This Indicator:
Boosted by improvements in income balances, the current account deficit is expected to narrow in the fourth quarter to $115.0 billion vs $124.1 billion in the third quarter.