The U.S. trade deficit dramatically narrowed in November to its lowest level since July 2005. Unquestionably a weak dollar and robust economic growth overseas has helped pushing U.S. exports to a record level in November 2006. The commerce department has stated that the U.S. trade deficit reduced by a hefty 1 percent to $58.2 billion, which might have surprised analysts at Wall Street as they had earlier predicted $59.9 billion. In the mean time exports of goods and services grew nearly 1 percent to a record high $124.8 billion in November last. Multiple factors have worked to the advantage of the U.S. economy to reduce its trade gap. Dollar weakened drastically towards the end of the last year to touch a 14-year low against sterling, which contributed significantly to boost US exports. On the other hand, economic growth in China and eurozone continued to grow at rapid speed. In addition to it, mild weather in the U.S. and drop in oil prices resulted in constricting oil imports and consequently trimming the monthly trade shortfall. The average price of imported oil continued to fall for the third straight months to $52.25, the lowest since a year. In November last, imports from China surprisingly fell by 5.2 percent to the tune $27.8 billion; still the total import from China for the 11 months in the last year remained high to $236.6 billion. However, the monthly trade gap with China narrowed by 6 percent to $22.9 billion in November. The recent data have definitely boosted analysts to raise their estimates for the U.S. economic growth for the fourth quarter. Amidst these encouraging figures and despite a fall in trade gap, the total trade deficit at the end of November hit a massive $701.6 billion clearly indicating towards a new annual record for 2006.