020 7898 0500The US dollar enjoyed a reasonably strong morning yesterday, making reasonable gains against sterling and euro as a number of key figures made optimistic predictions for the US retail sales data. However, earlier gains were quickly wiped out when the figures revealed less growth than expected. Whilst typical estimates put growth at 0.8%, the figures revealed growth to be slightly lower at 0.4%, underlining the fact that recovery has been less convincing in the second quarter for the US. Commentators expect the US economy to continue its recovery over the coming months, however figures such as yesterday’s show that the recovery could be sporadic and any negative data is likely to lend credence to the hesitancy that Fed Chairman Bernanke expressed last week regarding the tapering back of the US bond-buying programme. Thus today’s US Core CPI data, giving an indication as to the level of inflation in the world’s largest economy, has the potential to cause further movement if figures differ from predictions. Call your trader now to keep pace with developments and to get a live quote.
