TRADE

DEFICIT LIKELY WIDENED TO A RECORD

The trade deficit probably widened to a record in September as the value of imported oil surged, economists said in advance of a government report this week.

The trade gap jumped to $61 billion from $59 billion in August, according to the median estimate of economists surveyed by Bloomberg News. The deficit reached a record $60.4 billion in February. The Commerce Department is due to issue its trade report for September on November 10.

– Bloomberg News

TENTATIVE U.S.-CHINA AGREEMENT SMOOTHS RELATIONS AHEAD OF VISIT

A tentative agreement between America and China over a cap on clothing exports may remove a source of tension in U.S.-China trade, smoothing relations before President Bush visits Beijing, an economist, Huang Yiping, said.

Trade negotiators have agreed to raise the allowable American import growth rate for Chinese pants, knit shirts, bras, and other items to 10% in 2006 and to about 16% by 2008, representatives for both textile importers and producers said on condition of anonymity on Saturday in Washington.

– Bloomberg News

RETAIL

WAL-MART SAYS SALES RISE, LED BY GROCERY-BUYING

Wal-Mart Stores, the world’s largest retailer, said November sales at its American stores are rising within its forecast, led by groceries.

The company has forecast a sales gain this month of 3% to 5% from a year earlier at its American stores open at least one year. The Bentonville, Ark.-based retailer updated results through Saturday in a recorded call yesterday.

Sales of food outpaced general merchandise for the 15th time in 17 weeks.

– Bloomberg News