FX.co ★ Eurozone Current Account Surplus At 3-Month Low

The European Central Bank reported on Friday that the euro area's current account surplus declined to its lowest point in three months this past November. Specifically, the surplus reduced to €27 billion from €30 billion in October, marking the lowest level since August, when the surplus was recorded at €23.5 billion.

In detail, the trade surplus in goods experienced growth, rising to €35 billion from €32 billion. In contrast, the surplus in services shrank to €12 billion from €16 billion. Regarding primary income, there was a deficit of €6 billion, a deterioration from the previous month's deficit of €2 billion. However, the secondary income deficit slightly improved, narrowing to €14 billion from €15 billion.

Over the twelve-month period leading up to November, the overall current account surplus reached €412 billion — equivalent to 2.7% of GDP — a notable increase from €225 billion or 1.5% of GDP in the same timeframe the previous year.

In terms of the financial account, euro area residents made net acquisitions of non-euro area portfolio investment securities totaling €620 billion. Meanwhile, non-residents acquired euro area portfolio investment securities, with such acquisitions amounting to €852 billion during the twelve months leading up to November.