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Imports fell more than exports in the latest quarter but the balance on services was a deficit. Photo / Brett Phibbs The external deficit has widened to $10.5 billion, equivalent to 5 per cent of the economy's output, and economists expect it to get worse from here.
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During U.S. morning trade, the dollar was lower against the euro, with EUR/USD surging 0.85% to hit 1.3044. The Institute for Supply Management said its index of purchasing managers rose by 1.2 points to 53.9 in December from 52.7 in November!
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Unofficially, however it lost over $15 billion in fiscal 2012, has a total net deficiency of over $34 billion (what in the private sector would be equivalent to an off-balance-sheet loan and would be illegal)...
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