This Week: Trade gap, consumer borrowing, Kroger earns
Sep 4, 2022, 3:10 PM | Updated: Sep 5, 2022, 3:11 am
A look at some of the key business events and economic indicators upcoming this week:
OUT OF BALANCE
The Commerce Department delivers its monthly snapshot of the nation’s trade gap Wednesday.
The gap between the value of goods and services the U.S. sells abroad and what it buys narrowed in June to $79.6 billion, a six-month low. The decline came as exports hit a record high, while imports fell. Economists predict the U.S. trade gap narrowed to $70.4 billion in July. That would be the smallest trade gap in a year.
Trade balance, monthly, billions of dollars, seasonally adjusted:
Feb. -88.1
March -107.7
April -86.7
May -84.9
June -79.6
July (est.) -70.4
Source: FactSet
JUST CHARGE IT
Americans have been ramping up their use of credit this year.
U.S. consumer borrowing, excluding mortgages and other loans secured by real estate, jumped by $40.2 billion in June from May, when consumer borrowing increased by $23.8 billion. The June increase was the biggest in three months and pushed total consumer credit to around $4.63 trillion. The Federal Reserve releases its July snapshot of consumer borrowing Thursday.
Consumer credit, monthly change, seasonally adjusted, billions of dollars:
Jan. 15.9
Feb. 34.7
March 47.1
April 35.0
May 23.8
June 40.2
Source: FactSet
MIXED RESULTS?
Wall Street expects that Kroger’s latest quarterly report card will show mixed results.
Analysts predict the supermarket operator’s fiscal second-quarter earnings declined from a year earlier, even as revenue increased. In June, Kroger raised its full-year guidance after posting earnings and revenue growth for the first quarter. The company, which also owns Ralphs, Dillons and other chains, reports quarterly results Friday.
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