US trade deficit hits record $66bn

The US trade deficit with the rest of the world jumped to a record $66.1bn in September, as oil prices soared following Hurricane Katrina. Overall imports to the US rose by 2.4% during the month to $171.3bn, while US exports fell by 2.6% to $105.2bn.

The soaring US deficit came as China reported a record global trade surplus of its own of $12bn in October - yet again putting pressure on Bush to find a way to have the yuan revalued. But not to worry, Paris Hilton is OK.