US retail sales rose 0.7% in March after a 0.9% jump (revised from 0.6%) in February. An increase of 0.4% was expected. Such strong data reverses the pattern of last month when February’s growth did not outweigh January’s dip. By last year, retail sales in terms of money rose 4.1%, outpacing inflation of 3.5% y/y.
Retail sales excluding autos rose 1.1%, also comfortably to a record high in money. Meanwhile, purchases of fuel and building materials remain in a downtrend from the second half of 2022.
Strong retail sales growth further placates the doves at the Fed, helping to dampen further the chances of a rate cut in the coming months. At the same time, strong selling coupled with a relatively good start to the reporting season is positive for the stock market, helping the S&P500 and Nasdaq100 bounce off their 50-day moving averages, leaving them within upward trends.
The FxPro Analyst Team
- GBPUSD reversed from support level 1.2495 - Likely to rise to resistance level 1.2625…
- EURUSD reversed from powerful support level 1.0350 - Likely to rise to resistance level…
- WTI broke daily Triangle - Likely to rise to resistance level 70.90 WTI crude…
- AUDUSD reversed from resistance level 0.6270 - Likely to fall to support level 0.6200…
- Nasdaq 100 reversed from strong support level 21000.00 - Likely to rise to resistance…
- USDJPY reversed from key support level 156.35 - Likely to rise to resistance level…
This website uses cookies