The eurozone current account surplus was E8.0bn in September, significantly ahead of the E700m surplus recorded a year earlier, according to figures released today by the European Central Bank (ECB). The ECB said the change resulted largely from an increase in the goods surplus to E11.3bn from E6.0bn, combined with a higher surplus for services, which rose to E3.9bn from E400m. This was only partially offset by a small increase in the income deficit to E2.6bn from a deficit of E1.1bn. The deficit for current transfers fell to E4.5bn from a deficit of E4.6bn. The ECB said seasonally adjusted data showed the value of goods exports remained at roughly the same level in September compared to August, while imports rose slightly.
In the financial account, combined direct and portfolio investment in the euro area recorded net inflows of E12.4bn in September. The ECB said the limited net outflows in direct investment in September were due to net outflows in equity direct investment, totalling E3.9bn, which more than outweighed the small net inflows in other capital, consisting mostly of inter-company loans totalling E500m. ///www.fxcentre.com