Marina Lyubimova
⬤ The US trade gap keeps getting bigger. Numbers from the first nine months of 2025 show the deficit in goods and services hit $766 billion, up sharply from $653 billion during the same stretch in 2024. That's a 17% increase year over year, making it the largest shortfall on record as of September 30.
⬤ The growing gap tells a straightforward story: Americans are buying way more from abroad than they're selling overseas. Import demand stayed strong while exports couldn't keep pace, pushing the deficit to new heights. This pattern has been building for a while now, and 2025 just accelerated the trend.
The shift from $653 billion to $766 billion in just one year reflects a clear continuation of the deficit trajectory.
⬤ This matters beyond the numbers themselves. A widening trade deficit affects currency flows and shapes how policymakers think about the economy. When the gap keeps expanding like this, it becomes a key signal for anyone watching macro conditions and trying to figure out where things are headed.
Marina Lyubimova
