Dollar Index Falls 0.3% After July Retail Sales Drop 0.6%
Updated
Updated · CNBC · Aug 14
Dollar Index Falls 0.3% After July Retail Sales Drop 0.6%
3 articles · Updated · CNBC · Aug 14
Summary
U.S. retail sales fell 0.6% in July, missing forecasts for a 0.1% rise and pushing the dollar index down 0.3% to 99.67.
The weak spending data reinforced signs of a broader slowdown after soft inflation readings and a July payrolls report showing unexpected job losses.
Fed expectations shifted further, with traders pricing only a 31% chance of a September rate hike and a 64% chance of one by December.
The euro rose 0.3% to $1.1564, while the yen strengthened 0.1% to 159.35 per dollar as markets weighed a possible Bank of Japan hike in September.
That yen gain remained fragile: the currency was still headed for a roughly 0.7% weekly loss, and traders see 160 per dollar as a likely trigger for fresh Japanese intervention.