Euro area goods trade surplus drops more sharply than expected in January

Euro area good exports kicked-off the year on a weak note, weighed down by a poor showing by France.

In seasonally-adjusted terms, exports fell by 0.7% month-on-month in January to reach €190.9bn, according to Eurostat, even as imports rose by 1.1% versus the prior month to hit €171.0bn.

Combined, that saw the single currency bloc's trade surplus slip from €23.2bn in December to €19.9bn for January.

Economists had penciled-in a reading of €22.5bn.

At the national level, a sharp narrowing in the French trade surplus from €4.8bn to €1.5bn was the chief reason behind the shrinking surplus, as exports dropped by 15.4% on the monthto €16.0bn.