US stocks were higher at the opening on Wednesday as investors digested data showing America’s trade deficit widened to a record high, while Omicron Covid variant cases continued to surge.
The Dow Jones Industrial Average was up 0.29%, while the S&P 500 rose 0.25% and the Nasdaq 0.08%.
Data from the US Commerce Department showed the goods trade deficit widened last month by 17.5% to $97.8bn, up from $83.2bn in October and breaking the previous record in September of $97bn.
Imports were boosted by businesses seeking to stock up for the holiday shopping season. Consumer demand for goods has been strong this year – as the US economy has kept growing, and stimulus cheques and record low interest rates have supported household spending.
Investors were also waiting on fresh data on the housing market when the National Association of Realtors puts out a report on US pending home sales in November. Economists are forecasting a slowdown from the previous month.
In equity news, electric-car maker Tesla chief executive Elon Musk exercised all of his options expiring next year, signalling an end to his stock sales. Shares in the company are up 54% for the year.
US carriers Delta Air Lines and Alaska Air Group cancelled hundreds of flights again on Tuesday as the daily count of domestic infections surged. Boeing shares fell on the news.
