What to watch on U.S. economy on Friday
The U.S. trade deficit likely narrowed to $41.3 billion in November from $42.2 billion in October on declines in energy prices and volumes, among other factors, according to economists polled by MarketWatch. However, analysts caution that a West Coast longshoreman strike may have interfered with results. The U.S. Department of Commerce will deliver its monthly report on U.S. international trade at 8:30 a.m. Eastern.

Also Friday morning, economists expect government data to show that import prices for December rose 0.1% after declining 0.9% in November. The data will be issued by the U.S. Department of Labor at 8:30 a.m.

Philadelphia Fed President Charles Plosser meanwhile will deliver a speech on the economic outlook at 9:30 a.m. Plosser, one of the more hawkish voices at the central bank, isn’t a voting member this year.

The Treasury Department will release the federal budget statement at 2 p.m. The U.S. government ran a budget deficit of $1 billion in December, the Congressional Budget Office estimated earlier this week.