Strong retail sales data boosted the US currency’s global price.
He global dollar recovered some of the value lost during Monday thanks to solid data from retail sales, on a day with the attention of the operators divided between the signals of the United States Federal Reserve (Fed) which point to a possible first cut in interest rates in September, on the one hand; and on the other, to a new intervention by the Japanese authorities with the aim of preventing the and in keep falling.
He dollar index, which measures the performance of the greenback against a basket of six currencies, gained 0.07% to 104.31 units. and in, Meanwhile, it weakened 0.28% against the greenback, to 158.46 units per dollar, so that the markets continue to trust in a rate cut of at least 25 basis points by the Fed at its September meeting, according to the tool FedWatch of CME.
The pound sterling fell 0.07% to $1.2957 awaiting British inflation data due on Wednesday, while the euro fell 0.03% to $1.0891 awaiting the monetary policy meeting of the European Central Bank (ECB) scheduled for Thursday.
Positive data in the United States
One boost to the dollar was data on U.S. retail sales, which were unchanged in June, beating economists’ expectations for a 0.3 percent decline in Reuters polled sales, as a drop in revenue at auto dealerships was offset by strength in other sectors, a sign of consumer resilience that is boosting economic growth prospects for the second quarter.
“It’s not so much about the overall figure, but about the figure without cars, which rose much more than expected,” he said. Joseph Trevisani, FX Street analyst in New York.
“Auto sales are being depressed by interest rates, so other than that and of course the housing market, it seems like the consumer is still doing pretty well and we all know that’s the foundation of the American economy.”
Other data showed that prices for imports remained unchanged in June as rising food prices were offset by lower energy prices, giving the Federal Reserve room to cut interest rates this year.
Politics also generates its effects on the markets: cryptocurrencies, along with the shares of companies that could benefit from a presidency of Donald Trump, jumped after an assassination attempt on the Republican candidate boosted expectations that he would win the November election. Bitcoin added 1.58% to $63,780.28, while Ether advanced 0.83% to $3,463.60.
Source: Ambito
