Euro Trade Surplus Down by EUR 163 billion in 2014

Eurostat figures have revealed that the European Union’s (EU) surplus in trade in services in 2014, decreased for the first time in five years.

The surplus stood at EUR 162.9 billion, compared with EUR 175.6 billion in 2013, and the figures reflect an increase of imports into the EU, in contrast to the amount of exports traded.

Imports have grown from a total of EUR 544.1 billion in 2013 to EUR 602 billion in 2014, an increase of 11%.

The volume of import growth has outstripped that of exports, which rose by 6%, from EUR 719.6 billion in 2013 to EUR 764.9 billion in 2014.

In 2012 the trade in services surplus just edged the total from 2014, as the excess reached EUR 163 billion.

During 2010 and 2011, there were surpluses recorded by Eurostat of EUR 107.8 billion and EUR 135.9 billion respectively.

Financial and ICT Services Main Surplus Drivers

The services that contributed the most to the trade surplus was the financial industry, which created an additional EUR 40.1 billion, while ICT services followed by creating a surplus of EUR 38.8 billion.

Other business services reached a total of EUR 31.8 billion extra, while the insurance and pension and transport industries, rose by EUR 20.4 billion, and EUR 18.7 billion respectively.

While the only significant deficit was found in the use of intellectual property, which recorded a loss of EUR 19 billion.

Fall in EU Surplus with the United States

The trade in services surplus with the United States has fallen from 17.1% in 2013 to 6.6% in 2014, as the EU imported EUR 25.1 billion more in services between the two years.

The largest surplus in trade was with the EFTA countries, with a total of EUR 58.6 billion gained.

EU surpluses were also achieved with Russia, EUR16.5 billion, Japan EUR 10.5 billion, and with Brazil on EUR 7.5 billion.

The only deficit with the EU’s main trading partners was found with Hong Kong, albeit only a slender EUR 0.1 billion.

      

Consumer Prices in France Increase by 0.2% in December

Consumer prices in France have recovered in December, leaping up by 0.2%, after falling down by the same figure in November.

The rise in prices resulted from rises in the price of services, which broadly rose by 0.6% , mainly due seasonal tourism prices.

Increases mainly came from airfares which rose by 12.7%, a 4% year on year rise, accommodation services climbed up by 6.6%, and there was a large rise in package holidays of 13.3%.

UK Pound Makes Slight Recovery from Five Year Low Against the US Dollar

The UK pound has made tentative steps forward against the US dollar, after precipitating to its lowest point against the dollar in five years. After official figures revealed weak industrial production data, as output fell by 0.7%.

Yesterday evening GMT, the pound reached a nadir buying as little as $1.435, but this morning climbed up to buying $1.445, before slipping to trading at $1.444.