Trade deficit grows nearly 19% from June to July

The U.S. trade deficit surged in July to $63.6 billion, the highest level in 12 years, as imports jumped by a record amount.

The Commerce Department reported that the July deficit, the gap between what America buys and what it sells to foreigners, was 18.9% higher than the June deficit of $53.5 billion. It was the largest monthly deficit since July 2008 during the 2007-2009 recession.

The July deficit increase was driven by a record 10.9% increase in imports, which rose to $231.7 billion. Exports were also up but by a smaller 8.1% to $168.1 billion.

Whitehall development to have combined swimming pool, pub

The Old Bag of Nails Pub at the Norton Crossing development in Whitehall is set to open Sept. 14, offering some different touches than the chain’s other 11 central Ohio locations.

The 5,000-square-foot restaurant, 4661 E. Broad St., will include a swimming pool open only to the tenants of the Lofts at Norton Crossing. The 360-unit apartment complex is part of Norton Crossing, the $50 million mixed-use development constructed by Continental Real Estate.

In February, Bag of Nails owner Mike Purdum opened his 15th Old Bag of Nails Pub in Ohio, within a similar mixed-use development on the Maumee River waterfront that also was developed by Continental Real Estate, Purdum said.

Whitehall’s Old Bag of Nails will be the only one in central Ohio to serve breakfast Saturday and Sunday mornings.

Risk of engine fire prompts recall from Hyundai, Kia

Korean automakers Hyundai and Kia are recalling over 591,000 vehicles in the U.S. to fix a brake fluid leak that could cause engine fires.

The recalls cover more than 440,000 Kia Optima midsize sedans from 2013 through 2015 and Kia Sorento SUVS from 2014 and 2015. Also covered are 151,000 Hyundai Santa Fe SUVS from 2013 to 2015.

The affiliated automakers say brake fluid can leak inside a hydraulic control unit for the anti-lock brakes, possibly causing an electrical short that can lead to fires.

Kia’s recall will start Oct. 15, while Hyundai’s will start Oct. 23. Dealers for both companies will inspect the control units for leaks and replace them if needed at no cost to owners.

In company documents posted Thursday by U.S. safety regulators, Hyundai said it had 15 reports of engine fires caused by the fluid leaks, while Kia said it had eight. Hyundai didn’t list any injuries, and Kia said it had none.

Workers’ hours cut by record amount from April to June

U.S. productivity rose at a 10.1% rate in the second quarter as the number of hours worked declined by the largest amount since the government started compiling the data more than 70 years ago.

The Labor Department said Thursday that hours worked fell by 42.9%, contributing to a 37.1% decline in output as the coronavirus pandemic ripped through nearly every corner of the U.S. economy. The decline in output was also the biggest dropoff since the government began tracking the data in 1947.

In its second and final estimate for the second quarter, the government said labor costs rose 9%, slightly less than last month’s first estimate of 12.2.%. The original estimate for productivity was a 7.3% increase.

Productivity — the amount of output per hour of work — is the key to rising living standards, and the slow pace of growth in recent years has contributed to sluggish wage increases.

From Thisweeknews and wire reports