Euro Rises Further on Surprisingly Higher Retail Sales
THE TAKEAWAY: Euro-zone retail sales rise 0.1% in August -> 4 straight months of higher retail sales -> Euro trading at a new daily high
Euro-zone retail sales surprising grew for the fourth straight month in August. Sales were up 0.1%, beating expectations for a 0.1% drop in retail sales and remaining consistent with July’s revised 0.1% growth in sales. Retail sales were 1.3% lower than August 2011, according to Eurostat.
Food, drinks, and tobacco sales grew by 0.1% in August. However, non-food sales dropped by 0.7% over the same month. Luxembourg saw the biggest rise in retail sales, up 2.9%, while Spain saw a 2.1% increase in retail sales. Meanwhile, France saw a 0.8% drop in retail sales in August.
A rise in retail sales is a good sign for the Euro-zone economy, so the Euro rose slightly following the surprising rise in sales. EURUSD is trading at a new daily high and further above 1.2900. Some resistance has been recently seen slightly above 1.2960.
EURUSD 15-minute: October 3, 2012
“Meet the DailyFX team in Las Vegas at the annual FXCM Traders Expo, November 2-4, 2012 at the Rio All Suite Hotel & Casino. For additional information regarding the schedule, workshops and accommodations, visit the FXCM Trading Expo website.”
DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.