Trade deficit near two-year low

The trade deficit fell to the lowest level in nearly two years in September, driven by record-high exports.

The gap shrank to $41.5 billion from $43.5 billion in August, a drop of 5.1 percent and the best showing since December 2010, the Commerce Department said Thursday.

Exports hit a record-high $187 billion, up $5.6 billion from August and outpacing the $3.4 billion increase in imports, up 1.5 percent to $228.5 billion.

Overall, the $554 billion deficit recorded this year is running behind last year's record $559.9 billion.

Meanwhile, the trade gap with China widened to $29.1 billion in September, up from $28.7 billion.

Economic growth increased by 2 percent in the July-September quarter, with the number dinged slightly by a drop in exports.