Source The Census Bureau of the Department of Commerce
The index represents the total number of the US trade operations. Balance of trade is a difference between the values of manufactured and shipped out of country (exports) and brought into the country (imports) production. The posi-tive balance of trade is referred to a trade surplus while the negative balance is a trade deficit. In case of the US deficit of balance of trade reduction as a result of increased export operations, the demand for the US Dollars will grow thus stimulating the US Dollar rate growth.
Effect of market
It has a marginal influence on the US Dollar dynamics. Decreasing deficit of balance of trade is a positive sign for the American currency.