The U.S. trade deficit fell to $59.8 billion in May (PDF file), the U.S. Commerce Department announced Friday, as exports rose at a much faster pace than imports in the month.

Economists surveyed by Bloomberg News had expected the May trade deficit to be $62.1 billion. The April trade deficit totaled $60.2 billion; March, $56.5 billion.

In May, exports increased to 0.9% to $157.5 billion. Imports increased 0.3% to a record $217.3 billion, with imported petroleum increasing 6.5% to $31.2 billion - - a cost component that accounted for almost the entire increase in the import total.

During May, the average price for a barrel of crude oil increased a record $9.47 to a record $106.28, the Commerce Department said.

U.S. exports shine again in May

Economist David H. Wang told BloggingStocks Friday the May trade deficit report "represents good news on an otherwise very sub-par economic landscape. Once again, as in April, if you take away oil and control for inflation, we can see a continued downward track in the deficit, led by rising exports," Wang said. "International demand for U.S. goods is a bright spot in our economy. Without it, we would be in a pronounced recession."

Nevertheless, Wang did not want to diminish the seriousness of the U.S. energy situation. "Oil remains a major net negative for the U.S. economy. High oil prices are eliminating needed disposable income in many income groups, it's driving up costs across the economy, and it's of course hurting the trade deficit." Wang said. "It's also transferring billions of dollars in GDP that could be kept at home, generating commerce in the U.S. economy. And given other sluggish sectors, domestically, we need as many dollars to stay home as we can get."

Economists prefer that a nation run a trade surplus as opposed to a trade deficit, as it usually implies that a nation's goods are competitive on the world stage, it's citizens are not consuming too much, and that it's amassing capital for future investment and economic goals.