According to data from the U.S. Department of Commerce, the U.S. goods trade deficit narrowed by 4.2% to $101.5 billion in June, primarily due to a broad-based decline in imports. Despite this improvement in the deficit, economists expect trade to continue to weigh on U.S. second-quarter gross domestic product (GDP) growth. Merchandise exports fell to a five-month low, with exports of industrial goods (including petroleum) dropping sharply.