Tuesday was a poor day for the US dollar, as it pushed towards the 1.57 level against sterling and went above the 1.12 level against the euro. This was thanks to data releases showing weaker than expected job openings in the US, with a slight improvement seen in the small business index thanks to improved economic conditions. However, the Conservative victory in the UK election last week has ensured that sterling continues to outweigh any US strength we may see.
Today we expect a busy day for data releases for the US, with retail sales expected to show a slight decrease on the previous month thanks to the continued slowdown of the US economy. Import prices are expected to increase to a positive figure for the first time in two months, but this does not usually affect the market.