The U.S. Dollar Index held close to a 7-month peak versus a weighted basket of its major rivals following the release of unexpectedly improved retail sales data which gave a lift to expectations that U.S. consumers might be able to weather the newly imposed spending cuts and tax increases. According to the U.S. Commerce Department, retail sales surged 1.1% in February, the largest increase in five months, and follows an upward revision of 0.2% to January’s figures as well; analysts had forecast that retail sales would rise only by 0.5%.
As reported at 1:08 p.m. (JST) in Tokyo, the U.S. Dollar Index had traded at a session high of 83.055 .DXY after the data release, before slipping back to its daily opening price of 82.845 .DXY. Analysts point out that that data suggests a resilience in the U.S. economy which is not being seen elsewhere, including the Eurozone, which is further weighing on the common currency. The EUR/USD pair was trading at $1.2962, only a slight improvement from the earlier struck 3-month trough of $1.2923 and well off February’s high of $1.3711; the Euro has lost nearly 6% of its value in the past month alone. The EUR/JPY pair also fell, trading at 124.22 Yen, moving farther from the 34-month high set last month when the pair hit 127.71 Yen.
U.S. Dollar Lifts from Strong Sales
After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.
... Read more After working on Wall Street, Barb began her second career as a freelance writer at Daily Forex, where the CEO recognized fresh, untapped potential and was willing to give her a try. She’s never looked back. Since then, she’s worked steadily as a freelance writer and editor in the financial services and Forex-related industry.