The U.S. trade deficit narrowed sharply in August as exports increased to a record high, suggesting that trade could have little or no impact on economic growth in the third quarter. The smaller-than-expected

Canada recorded a C$1.1 billion ($806 million) trade deficit in August as crude oil exports fell, driven mainly by lower prices for the commodity that is central to the country’s economy.

The U.S. trade deficit sank almost 11% in August because of lower imports of oil and new cars, potentially giving a boost to the official measure of economic growth in the third quarter.

An uptick in exports and a fall in imports brought the August US trade deficit to its narrowest in five months, according to government data released Tuesday.