EURUSD AT ONE-WEEK HIGH; EUROZONE DEC CURRENT ACCOUNT SURPLUS RISES TO 6-MONTH HIGH

Published on Feb 20, 2024 15:40

Euro is extending gains to a week high during the European session on Tuesday as dollar gave back intraday uptick and as euro area current account surplus rose to a six-month high in December. The European Central Bank reported Tuesday that current account surplus rose to EUR 32 billion in December from EUR 22 billion in November. This was the highest surplus since last June. The surplus on goods trade increased from November, while there was a notable reduction in the shortfall in primary income. The surplus on goods trade increased to EUR 35 billion from EUR 32 billion. By contrast, the surplus on services dropped to EUR 16 billion from EUR 17 billion. Meanwhile, dollar index returned mild gains made earlier in the day as all eyes are glued to FOMC minutes due this week for further cues. The minutes are expected to provide clarity following higher than expected US CPI and PPI data last week. EURUSD is currently quoting at $1.0807, up 0.16% on the day. Meanwhile, EURINR jumped on the back of the trade data and is trading higher by 89.64, up 0.16%c on the day.