OTTAWA, Nov 27 (Reuters) - Canada's current account deficit swelled in the third quarter to a record high of C$13.12 billion ($12.44 billion) as faltering U.S. demand battered exporters and likely led to a weaker-than-expected recovery.

Statistics Canada said on Friday the current account gap grew from an upwardly revised second-quarter deficit of C$11.94 billion. It was the fourth consecutive quarterly deficit but was slightly lower than the C$13.35 billion shortfall forecast by analysts in a Reuters poll.

Both exports and imports increased in the period but imports grew faster, leading to a new high in the deficit in trade in goods at C$3.98 billion. The deficit in services dropped slightly from the second quarter to C$5.63 billion.

Canada's trade surplus with the United States, which buys about three-quarters of all exports, narrowed for the fifth straight quarter. The weak U.S. consumer has hit hard on Canada's huge export sector, stunting economic growth and leading analysts to predict slim growth of 0.6 percent, annualized, in the third quarter. They had previously forecast a stronger recovery in the quarter.

Stronger earnings on Canadian direct investment abroad in the third quarter led to a smaller investment income deficit at C$2.97 billion.

(Reporting by Louise Egan; Editing by Kenneth Barry) Keywords: CANADA ECONOMY/CURRENT

(louise.egan@thomsonreuters.com; +1 613 235-6745; Reuters Messaging: louise.egan.reuters.com@reuters.net)

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