U.S. current account-gap dips 6% to $98.9 billion

U.S. current account-gap dips 6% to $98.9 billion

The amount the U.S. owes to the rest of the world, known as the current-account deficit, fell almost 6% in the second quarter, primarily because the nation sold more goods and services abroad and foreigners earned less on their American assets. The current account mainly measures whether a nation is selling more goods and services to other countries than it buys from them. It also includes certain large money flows in and out of the country. The nation's current-account balance fell to $98.9 billion from a downwardly revised $104.9 billion in the first three months of the year, the Commerce Department said Thursday. The goods deficit declined to $117.8 billion from $122.6 billion, while the U.S. services surplus with other countries rose to $53.1 billion from $50.9 billion in the first quarter. Payments on U.S. assets owned by non-Americans fell to $135.6 billion from $137.1 billion. Net sales of U.S. Treasurys by foreign investors were little changed: they bought almost as many bonds as they sold. By contrast, foreigners bought a net $50.8 billion in Treasurys in the first quarter.