Trade

The weak monthly reading underlines the challenge of strengthening household demand in an economy long driven by investment and exports.

June trade data provide a practical example of how overseas demand, exchange rates and domestic spending affect the current account.

The August outlook links oil supply, inventories and geopolitical disruption to the energy costs faced by households and firms worldwide.

Exports and imports both remained large, while the smaller deficit changed the net-trade contribution to US aggregate demand.

Growth slowed in the second quarter as policymakers tried to support domestic demand while navigating trade and property-sector pressures.

The July update describes a world economy still expanding, but exposed to trade, energy, financial and policy uncertainty.