USA's trade deficit rises to second highest level this year

America's trade deficit rose to the second highest level this year, reflecting higher prices for foreign oil and a continued appetite for Chinese products despite this year's recalls of tainted products.

The Commerce Department reported that the deficit for May rose to $60.04 billion (EUR 43.55 billion), up by 2.3 percent from the April level. Most of the increase reflected a big jump in energy imports, which climbed to the highest level in nine months.

The deficit with China rose to $20.02 billion (EUR 14.5 billion), the biggest imbalance in four months. So far this year, the deficit with China is running 17.2 percent ahead of the pace set last year when the overall deficit soared to an all-time high of $233 billion.