The afternoon reports on nominal and core retail sales in the United States adds to recent notions of an economy not entering a second recession, as many pundits had expected. Employment data these past few weeks have shown the US economy adding jobs in greater numbers this summer; today’s retail sales data bolsters this data by showing consumers boosting their spending levels, despite frantic expectations of economic turmoil.
The news has helped the US dollar (USD) hold value where it may have plummeted instead. Swings in stock market values this week have made forex trading more interesting, given the heightened volatility that springs forth during a period of flight into Treasuries and Gold. Today’s data strengthens the idea that US Treasuries will rise, likely pushing the USD higher in today’s late trading.
Read more forex trading news on our forex blog.