WASHINGTON - The US trade deficit narrowed in October to $43.4 billion as exports increased more than imports, according to Commerce Department data released Friday.
US exports of goods and services increased $2.3 billion to $197.5 billion in October while imports rose $2.1 billion to $241.0 billion
The September deficit was revised to $43.6 billion from the previous estimate of $43.0 billion.
The nation's shortfall in trade in goods and services in October was larger than analysts expected, with the consensus estimate at $42.0 billion.
Exports of goods and services increased $2.3 billion to $197.5 billion, mainly reflecting an increase in capital goods exports, the department said.
Imports rose $2.1 billion to $241.0 billion.
The petroleum deficit widened to $15.2 billion from $14.0 billion in September as petroleum exports fell sharply to just below $11.0 billion from $12.3 billion.
The politically sensitive goods trade gap with China shrank 8.4 percent to $32.5 billion, despite a record $45.2 billion in Chinese imports. US officials say China keeps its yuan currency undervalued, giving the world's second-largest economy an unfair trade advantage.
With the European Union, the trade gap expanded 8.5 percent to $12.7 billion.
In the first 10 months of the year, the US trade deficit rose $20.5 billion, or 5.1 percent, from the same period in 2013.