US dollar edges higher after strong retail sales data

Never underestimate the spending power of the US consumer.

The October US retail sales report underscored what banks and credit card companies have been saying -- spending is strong. Sales rose 1.3% m/m and +0.9% m/m excluding autos and gasoline. Both were well-above expectations.

The dollar rose around 25 pips across the board with Fed hike odds ticking modestly higher. That's a smaller reaction that I might have expected given the importance of the data but speaks to a market that's suddenly-reluctant to buy US dollars.

More broadly, the equity market rebound is showing signs of exhaustion with S&P 500 futures Futures Futures or a futures contract represents a legal agreement to buy or sell a security or asset at a predetermined price at a specified time in the future. Of note, the parties are not known to each other.These transactions usually involve commodities or other securities involving the buying and selling for a forward or predetermined price.Futures also adhere to a delivery date, which specifies the date of delivery and payment. Relative to other forms of investing futures are much more complex, as Futures or a futures contract represents a legal agreement to buy or sell a security or asset at a predetermined price at a specified time in the future. Of note, the parties are not known to each other.These transactions usually involve commodities or other securities involving the buying and selling for a forward or predetermined price.Futures also adhere to a delivery date, which specifies the date of delivery and payment. Relative to other forms of investing futures are much more complex, as Read this Term down 12 points. US 10-year yields are also 6 bps lower.

You can see the move on the EUR/USD chart but it doesn't particularly stand out.