Pantheon Macroeconomics: Eurozone Current Account Surplus Indicates Energy Crisis Over, But Euro’s Trajectory May Narrow Surplus

Economist Claus Deppner at Pantheon Macroeconomics stated in a report that the significant increase in the Eurozone’s current account surplus suggests that the energy crisis from last year has been fully resolved for the Eurozone.

Recent trade data has revealed that with the decrease in energy import costs, Germany has experienced a substantial surplus. The trade surplus for June expanded from 8 billion euros in May to 36 billion euros, confirming this trend.

Deppner mentioned, “The trade terms shock from last year’s surge in energy prices is now entirely over.”

However, she noted that the trajectory of the Euro indicates that the surplus may narrow in the coming months.