The U.S. current account deficit narrowed more than expected in the third quarter, hitting its lowest level in three years, amid an increase in goods exports and primary income.

The Commerce Department said on Tuesday the current account deficit, which measures the flow of goods, services and investments into and out of the country, dropped 19.2 percent to $100.6 billion. That was the lowest level since the third quarter of 2014.

The current account deficit for the second quarter was revised to $124.4 billion from the previously reported $123.1 billion. Economists polled by Reuters had forecast the deficit decreasing to $116.8 billion in the July-September quarter.

The third-quarter current account deficit represented 2.1 percent of gross domestic product. That was the smallest percentage since the second quarter of 2014 and down from 2.6 percent in the second quarter.

The current account deficit has dropped from a record high of 6.3 percent of GDP in the fourth quarter of 2005 as rising domestic oil production and lower global oil prices curbed the import bill.

Goods exports increased 1.4 percent to $388.1 billion in the third quarter. The surplus on primary income - which includes investment income such as dividends and employee compensation rose 12.9 percent to $57.0 billion. Primary income receipts increased $9.4 billion to $234.5 billion, reflecting increases in portfolio and direct investment income.

The deficit on secondary income, which includes U.S. government grants, pensions, fines and penalties, and worker remittances declined 30.0 percent to $23.2 billion.