**Encouraging trade and housing figures have added to hopes that the US economic recovery is strengthening.**The Commerce Department said the current account deficit rose 10.3% to $108bn (£66bn) in the third quarter, as demand for overseas goods rebounds.
Meanwhile, new home construction for November grew by 8.9% to an annual rate of 574,000 units.
Separately, inflation looks under control. The consumer price index rose 0.4% in November, as expected.
Stripping out the volatile energy costs, consumer prices were unchanged from last month.
Federal Reserve policy makers have said that the “subdued” inflation will allow them to keep interest rates at their continuing record low of between 0% and 0.25%, where they have been since December of last year.
Their latest decision on interest rates is due later on Wednesday.
Trade recovery
Wednesday’s trade figures showed both imports and exports picking up in the July to September period.
The amount of goods being sold overseas rose to $263.9bn from $246.1bnn in the previous three months, while imports jumped to $396.1bn from $361.6 bn.
Global trade is starting to recover after being hard hit by the financial crisis and subsequent worldwide recession.
A housing recovery is seen as critical for the US economy. It is beginning to improve after three years of decline.
As well as more builders starting work on new homes in November, applications for new building permits rose 6% to an annual rate of 584,000 units, an indication that the upward trend will continue.
New home construction contributed to economic growth in the third quarter for the first time since 2005.