WASHINGTON (MarketWatch) -- Stronger demand for U.S. products overseas and lower energy costs at home helped to reduce the trade deficit in May, the Commerce Department said Wednesday. The trade deficit narrowed 2.8% in May to $55.3 billion, and was below the consensus forecast of Wall Street economists of $57.0 billion
This is interesting news, and, if true, is a contradiction of my bearish view of the US economy and the UD dollar. But how do we know if it is true? We do know that the Bush administration has been leaning on all federal agencies to publish whatever figures and news suit their political ends. Global warming is denied, the Consumer Price Index is a farce (read this page by Jim Puplava's for the details). Economic projections, the various rationales for waging war, all of it is simply made up to suit the Republican agenda.
Is there any way to verify the commerce department's trade deficit numbers? Trillions of dollars trade on the FX markets on the basis if this information.