US trade deficit hits 31-month high

The US trade gap widened sharply in May to its highest level in 31 months as surging oil prices helped push imports to a near record and exports fell slightly from April’s record high.

The US trade gap widened sharply in May to its highest level in 31 months as surging oil prices helped push imports to a near record and exports fell slightly from April’s record high.

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The trade deficit totaled $50.2 billion, the highest since October 2008, and well above the consensus estimate of $44.0 billion from Wall Street analysts surveyed before the report, the government said on Tuesday.

Imports rose 2.6% to $225.1 billion, the highest since the record $231.6 billion set in July 2008 just before the global financial crisis.

The rise reflected record imports of capital goods and food, feeds and beverages in a sign of resurgent US demand. But a jump in oil import prices to $108.70 per barrel — the highest since August 2008 — accounted for a big part of the gain.