Retail sales highlights:
- Largest increase in a year but fourth consecutive reading below expectations
- Prior revised to -0.5% vs -0.6% previously
- Control group +0.3% vs +0.5% expected
- Prior control group 0.0% (revised to -0.2%)
- Ex autos +0.4% vs +0.7% exp
- Prior ex autos -0.1% (unrevised)
- Ex autos and gas +0.5% vs +0.6% exp
More details:
- Furniture +1.4%,
- Building materials +2.1%
- Clothing +1.2%
- Healthcare +0.3%
The US dollar is down around 50 pips right across the board. The kneejerk continues to extend, with the high so far in EUR/USD at 1.0633.
The question is, when to buy the dollar dip? I'm looking at 1.0620 in EUR/USD or 1.0700.
Is this really so bad?
US retail sales control group
We knew the winter was harsh so some weakness isn't a surprise and the report didn't miss by that much.
