The U.S. trade deficit including goods and services increased by 12% on a year earlier, and was largely in line with economists’ expectations. The single biggest driver of the deficit expansion was capital goods imports. Exports of travel services had a bigger positive impact than financial services for the first time. The 8% increase in the goods deficit will likely remain a driver of a more hawkish stance on trade deals by the Trump administration. In that regard the deficit with China expanded 9% and with Mexico by 25%, though the deficit with recently-criticized South Korea fell 42% ...