"We are seeing a pickup in demand on the consumer side that's boosting imports"
- Robert Rosener, an economist at Credit Agricole CIB
Several statistical offices in the U.S. showed data on the U.S. trade, labour market and non-manufacturing activity, suggesting the economy is growing, albeit facing certain risks, which can drag on the recovery. The U.S. trade gap widened by 12.1% in May, totalling $45 billion, the biggest since November, down from $40.1 billion in a month earlier. The value of imports stood at $232.1 billion, the second reading before a record $234.3 billion in March 2012. The report also showed that exports stagnated in May, reflecting slack global growth, especially slowdown in China and prolonged recession in Europe.
At the same time, fewer American filed claims for jobless benefits last week, as employers are holding off on firings keeping in mind improved growth prospects. The number of unemployment claims fell by 5,000 to 343,000 in the week ended June 29, down from 348,000 a week earlier, however, a drop was 2,000 smaller than a figure expected by analysts.
The U.S. Institute for Supply Management released a report, showing that an index of activity in non-manufacturing sector stood at 52.2 in June, from 53.7 in the prior month. Still it remains above the 50 threshold, which separates growth from contraction.
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