FX.co ★ US Goods Trade Deficit Narrows in January

The US goods trade deficit narrowed to $80.8 billion in January 2026 from $98.5 billion in December 2025, marking the smallest gap since September 2025. The improvement came as exports rose and imports fell. Exports increased 13.0% month-on-month to $194.8 billion, supported by higher sales of industrial supplies (up 20.9%), capital goods (up 17.8%), and foods, feeds, and beverages (up 7.2%). In contrast, imports declined 15.7% to $275.6 billion, reflecting sharp drops in industrial supplies (down 44.9%) and automotive vehicles (down 18.8%), which more than offset a 24.7% increase in imports of capital goods.