AY CARUMBA!

The 2003 US trade data were released this morning. The merchandise trade deficit is up 14% over last year to $549 billion.

Particularly troubling is the continued deterioration of the US trade deficit in advanced technology products, which fell from a $16.6 bn deficit in 2002 to a $27.4 bn deficit in '03. Trade with China led this decline in the advanced technology trade position, with the bilateral deficit falling from $11.8 bn to $21.1 bn. Yikes.

More to come...