News & Analysis at your fingertips.

We use a range of cookies to give you the best possible browsing experience. By continuing to use this website, you agree to our use of cookies.
You can learn more about our cookie policy here, or by following the link at the bottom of any page on our site. See our updated Privacy Policy here.



Notifications below are based on filters which can be adjusted via Economic and Webinar Calendar pages.

Live Webinar

Live Webinar Events


Economic Calendar

Economic Calendar Events

Free Trading Guides
Please try again
More View more
Real Time News
  • Gold prices gain as potential systemic risks out of China's Evergrande Group roil broader markets. Meanwhile, iron ore is ticking higher after a big drop on Monday as China steps up steelmaking curbs. Get your market update from @FxWestwater here:
  • #ASEAN based #USD index continues to extend the bounce off September lows post #FOMC This follows a test of the 100-day SMA as well as a rising trendline from June Eyes on the 38.2% Fib extension before potentially retesting the July/August highs
  • 🇦🇺 Markit Manufacturing PMI Flash (SEP) Actual: 57.3 Previous: 52
  • 🇦🇺 Markit Services PMI Flash (SEP) Actual: 44.9 Previous: 42.9
  • Heads Up:🇦🇺 Markit Manufacturing PMI Flash (SEP) due at 23:00 GMT (15min) Previous: 52
  • Heads Up:🇦🇺 Markit Services PMI Flash (SEP) due at 23:00 GMT (15min) Previous: 42.9
  • Gold remains higher despite positive Evergrande news out of China. Meanwhile, copper bulls are pushing prices upward as the potential for a housing crisis in China ebbs. Get your market update from @FxWestwater here:
  • RT @BrendanFaganFx: USD/BRL May Continue to Gyrate as Brazilian Central Bank Tightens by 100 Basis Points $USD $USDBRL #FOMC Link: https…
  • 🇧🇷 Interest Rate Decision Actual: 6.25% Expected: 6.25% Previous: 5.25%
  • Heads Up:🇧🇷 Interest Rate Decision due at 22:00 GMT (15min) Actual: 6.25% Expected: 6.25% Previous: 5.25%
US Dollar Rises, Gold Extends Drop After Surging US Retail Sales

US Dollar Rises, Gold Extends Drop After Surging US Retail Sales

Justin McQueen, Strategist

USD, Retail Sales Price Analysis & News

  • Stellar US Retail Sales Suggests Upside Risks to GDP
  • USD and US Yields Extend Higher, Gold Drops

US Retail Sales Surge, US Dollar Extends Higher

A sizeable beat on the latest retail sales data, which has also surpassed the high estimate. The retail control figure, which is important for GDP trackers, rose 6%, surpassing expectations of 0.8% and beating the high estimate of 4.3%. In turn, this will likely feedthrough into upward revisions for US GDP. The initial reaction has seen the USD extend gains across the board to hit fresh session highs with US yields also picking up, while gold remains on the backfoot as 1764 comes into focus. (Full analysis on gold here).

Going forward, this will undoubtfully raise questions as to whether $1.9trillion of fiscal stimulus is needed an argument that has been raised by Larry Summers recently, who stated that the output gap may not be large enough to support another round of stimulus. Alongside this, the US retail sales data will likely fuel concerns over a spike in inflation, which could see more conservative Democratic senators, such as Manchin call for a lower stimulus package. That said, the S&P 500 has also dipped following the retail sales and PPI data with markets back to the good news is bad news mantra, given that good news may raise expectations that the Fed could reign in monetary policy stimulus sooner than markets expect.

DATA OVERVIEW: DailyFX Economic Calendar

US Dollar Rises, Gold Extends Drop After Surging US Retail Sales

Source: DailyFX

USD, Gold, Rates Reaction to Retail Sales: Intra-day Time Frame

US Dollar Rises, Gold Extends Drop After Surging US Retail Sales

Source: Refinitiv

DailyFX provides forex news and technical analysis on the trends that influence the global currency markets.