US Current Account Deficit Widens to 246.0 Billion Dollars in the Second Quarter
The US current account deficit widened by 33.4 billion dollars, or 15.7 percent, to 246.0 billion dollars in the second quarter of 2026, the Bureau of Economic Analysis said on 24 September. The revised first quarter deficit was 212.6 billion dollars. The deficit was equal to 3.0 percent of current dollar gross domestic product, up from 2.7 percent in the first quarter.
| Item | First quarter 2026 | Second quarter 2026 |
|---|---|---|
| Current account deficit | 212.6 billion dollars | 246.0 billion dollars |
| Share of GDP | 2.7% | 3.0% |
| Net international investment position | Minus 21.27 trillion dollars | Minus 22.42 trillion dollars |
Bureau of Economic Analysis. First quarter figures revised.
Goods drove the widening
The bureau said the widening reflected a larger deficit on goods, partly offset by smaller deficits on primary income and on secondary income. Exports of goods and services and income received rose 58.8 billion dollars to 1.44 trillion dollars, while imports and income paid rose 92.2 billion dollars to 1.69 trillion dollars.
Net liabilities pass 22 trillion dollars
The net international investment position, the gap between US residents’ foreign assets and their liabilities to foreign residents, was minus 22.42 trillion dollars at the end of June, against minus 21.27 trillion dollars at the end of March. Assets rose 3.72 trillion dollars to 46.97 trillion dollars and liabilities rose 4.87 trillion dollars to 69.39 trillion dollars, with price changes accounting for most of both increases. Net financial account transactions were minus 369.7 billion dollars, reflecting net US borrowing from foreign residents.
Why it matters: The net international investment position deteriorated by about 1.15 trillion dollars in the quarter, on our calculation. Price changes alone worsened it by about 0.92 trillion dollars, as valuation gains on US liabilities exceeded those on US foreign assets, while the bureau separately recorded 369.7 billion dollars of net US borrowing from foreign residents.
Outlook: The third quarter figures will show whether the goods deficit that widened the gap in the second quarter persists.
Sources: Bureau of Economic Analysis.
