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WASHINGTON (AP) -- The U.S. trade deficit narrowed sharply in June to its lowest level in more than 3 ½ years. Exports rose to an all-time high and imports declined, signs that economic growth is stronger than previously thought.

The Commerce Department says the June deficit fell 22.4 percent to $34.2 billion. That's the lowest since October 2009 and down from May's imbalance of $44.1 billion, which was revised down.

Exports rose 2.2 percent to $191.2 billion, reflecting more sales of manufactured goods and farm products. Imports dropped 2.5 percent to $225.4 billion. Oil imports declined to the lowest level in more than two years.

The smaller deficit could prompt the government to revise economic growth for the April-June quarter up from its initial estimated annual rate of 1.7 percent.

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