1
 A surprising surge in the U.S. trade deficit raised fears
5001
span

2
 that the nation's export drive has stalled, 
5002
List

3
and caused new turmoil in financial markets.
5002
List

4
 The merchandise trade deficit widened in August to $10.77 billion,
5085
span

5
 the Commerce Department reported, 
4
attribution-e

6
a sharp deterioration from July's $8.24 billion and the largest deficit of any month this year.
5005
Same-Unit

7
 Exports fell for the second month in a row, 
5007
Comparison

8
while imports rose to a record.
5007
Comparison

9
 This is one of the worst trade releases 
5009
span

10
we've had 
9
elaboration-object-attribute-e

11
since the dollar troughed out in 1987, 
5009
circumstance

12
said Geoffrey Dennis, chief international economist at James Capel Inc. 
5010
attribution

13
Like most analysts, Mr. Dennis was hesitant to read too much into one month's numbers; 
5013
Contrast

14
but he said,
5015
attribution

15
 It indicates perhaps 
5016
attribution

16
that the balance in the U.S. economy is not as good 
5016
Comparison

17
as we've been led to believe. 
5016
Comparison

18
 The number had a troubling effect on Wall Street,
5018
span

19
 suggesting 
20
attribution

20
that more fundamental economic problems may underlie last Friday's stock market slide.
5019
span

21
 The Dow Jones Industrial Average tumbled more than 60 points after the report's release,
5021
Sequence

22
 before recovering 
5022
span

23
to close 18.65 points lower at 2638.73.
22
consequence-s

24
 This bad trade number raises some deeper issues about the market decline,
5024
span

25
 said Norman Robertson, chief economist for Mellon Bank.
24
attribution

26
 It raises questions about more deep-seated problems, the budget deficit and the trade deficit and the seeming lack of ability 
5026
span

27
to come to grips with them.
26
elaboration-object-attribute-e

28
 The trade report drew yet another unsettling parallel to October 1987.
5028
span

29
 On Oct. 14 of that year, the announcement of an unusually large August trade deficit helped trigger a steep market decline. 
5029
span

30
The slide continued until the record 508-point market drop on Oct. 19.
29
elaboration-additional

31
 In 1987, however, the news was the latest in a string of disappointments on trade, 
5031
Contrast

32
while the current report comes after a period of improvement.
5031
Contrast

33
 The bleak trade report was played down by the Bush administration. 
5033
span

34
Commerce Secretary Robert Mosbacher called the worsening trade figures disappointing after two very good months.
5034
List

35
 And White House spokesman Marlin Fitzwater said
36
attribution

36
 the deficit was an unwelcome increase, 
5035
span

37
adding 
5038
attribution

38
that we're hopeful 
5039
attribution

39
that it simply is a one-month situation
5039
List

40
 and will turn around.
5039
List

41
 But the figures reinforced the view of many private analysts 
5041
span

42
that the improvement in the U.S. trade deficit has run out of steam.
41
elaboration-object-attribute-e

43
 The figures today add further evidence 
5043
span

44
to support the view 
5044
span

45
that the improvement in the U.S. trade deficit has essentially stalled out at a level of about a $110 billion annual rate, 
44
elaboration-object-attribute-e

46
said Jeffrey Scott, a research fellow at the Institute for International Economics here.
5043
attribution

47
 That's still an improvement over last year,
5047
Contrast

48
 but it leads one to conclude 
5050
attribution

49
that basically we've gotten all the mileage 
5049
span

50
we can 
49
elaboration-object-attribute-e

51
out of past dollar depreciation and past marginal cuts in the federal budget deficit.
5050
Same-Unit

52
 Exports declined for the second consecutive month in August,
5052
span

53
 slipping 0.2% to $30.41 billion, 
52
elaboration-additional

54
the Commerce Department reported.
5052
attribution

55
 Imports, on the other hand, leaped 6.4% to a record $41.18 billion.
5054
Contrast

56
 Not only was August's deficit far worse than July's, 
5057
antithesis

57
but the government revised the July figure substantially from the $7.58 billion deficit 
5057
span

58
it had initially reported last month.
57
elaboration-object-attribute-e

59
 Many economists contend 
5060
attribution

60
that deep cuts in the U.S. budget deficit are needed 
61
circumstance

61
before further trade improvement can occur.
5060
span

62
 That's because the budget deficit feeds an enormous appetite in this country for both foreign goods and foreign capital,
5062
span

63
 overwhelming the nation's capacity to export.
62
cause

64
 People are sick and tired of hearing about these deficits,
5064
Contrast

65
 but the imbalances are still there 
5065
List

66
and they are still a problem,
5065
List

67
 said Mr. Robertson.
5064
attribution

68
 In addition, the rise in the value of the dollar against foreign currencies over the past several months has increased the price of U.S. products in overseas markets 
5068
List

69
and hurt the country's competitiveness.
5068
List

70
 Since March, exports have been virtually flat.
5068
explanation-argumentative

71
 At the same time, William T. Archey, international vice president at the U.S. Chamber of Commerce, notes: 
5072
attribution

72
Clearly the stronger dollar has made imports more attractive 
5072
span

73
by causing their prices to decline.
72
means

74
 Most economists expect the slowing U.S. economy to curb demand for imports.
5074
Contrast

75
 But they foresee little substantial progress in exports unless the dollar and the federal budget deficit come down.
5074
Contrast

76
 The best result 
5076
span

77
we could get from these numbers 
76
elaboration-object-attribute-e

78
would be to see the administration and Congress get serious about putting the U.S. on an internationally competitive economic footing, 
5077
Same-Unit

79
said Howard Lewis, vice president of international economic affairs at the National Association of Manufacturers.
5077
attribution

80
 That must start with cutting the federal budget deficit.
5078
elaboration-additional

81
 August's decline in exports reflected decreases in sales of industrial supplies, capital goods and food abroad and increases in sales of motor vehicles, parts and engines.
5081
List

82
 The jump in imports stemmed from across-the-board increases in purchases of foreign goods.
5081
List

83
 The numbers were adjusted for usual seasonal fluctuations.
5081
elaboration-additional

84
 Alan Murray contributed to this article.
5083
TextualOrganization

85
 (In billions of U.S. dollars, not seasonally adjusted)
5083
TextualOrganization

86
 *Newly industrialized countries: Singapore, Hong Kong, Taiwan, South Korea 
5083
TextualOrganization

87
 Source:
5084
span

88
 Commerce Department 
87
attribution

5001
span
5003
span

5002
multinuc
1
elaboration-object-attribute-e

5003
span
5058
span

5004
span



5005
multinuc
5006
span

5006
span
5008
span

5007
multinuc
5005
elaboration-additional

5008
span
5051
span

5009
span
5010
span

5010
span
5011
span

5011
span
5012
span

5012
span
5027
span

5013
multinuc
5017
span

5014
span
5013
Contrast

5015
span
5014
span

5016
multinuc
5015
span

5017
span
5011
elaboration-additional

5018
span
5020
span

5019
span
18
elaboration-additional

5020
span
5013
elaboration-additional

5021
multinuc
5023
span

5022
span
5021
Sequence

5023
span
5018
elaboration-additional

5024
span
5025
span

5025
span
5021
elaboration-additional

5026
span
5024
elaboration-additional

5027
span
5006
explanation-argumentative

5028
span
5032
span

5029
span
5031
concession

5030
span
28
explanation-argumentative

5031
multinuc
5030
span

5032
span
5012
elaboration-additional

5033
span
5028
elaboration-additional

5034
multinuc
33
explanation-argumentative

5035
span
5036
span

5036
span
5042
concession

5037
span
5035
elaboration-additional

5038
span
5037
span

5039
multinuc
5038
span

5040
span
5034
List

5041
span
5042
span

5042
span
5040
span

5043
span
5045
span

5044
span
43
elaboration-object-attribute-e

5045
span
5046
span

5046
span
5041
explanation-argumentative

5047
multinuc
5045
elaboration-additional

5048
span
5047
Contrast

5049
span
5050
Same-Unit

5050
multinuc
5048
span

5051
span
5001
elaboration-additional

5052
span
5053
span

5053
span
5054
Contrast

5054
multinuc
5055
span

5055
span
5008
elaboration-additional

5056
span
5054
elaboration-additional

5057
span
5056
span

5058
span
5080
span

5059
span
5061
span

5060
span
5059
span

5061
span
5003
elaboration-additional

5062
span
5063
span

5063
span
5059
result

5064
multinuc
5066
span

5065
multinuc
5064
Contrast

5066
span
5067
span

5067
span
5062
explanation-argumentative

5068
multinuc
5069
span

5069
span
5070
Temporal-Same-Time

5070
multinuc
5073
span

5071
span
5070
Temporal-Same-Time

5072
span
5071
span

5073
span
5066
elaboration-additional

5074
multinuc
5075
span

5075
span
5070
elaboration-additional

5076
span
5077
Same-Unit

5077
multinuc
5078
span

5078
span
5079
span

5079
span
5074
explanation-argumentative

5080
span
5083
TextualOrganization

5081
multinuc
5082
span

5082
span
5058
elaboration-additional

5083
multinuc



5084
span
5083
TextualOrganization

5085
span
5005
Same-Unit

