U.S. data

• Core retail sales index (m/m) (July), fact 1.0%, forecast 0.4%.
• Initial jobless claims, fact 220K, forecast 214K.
• Nonfarm productivity level (q/q) (Q2), Fact 2.3%, forecast 1.5%.
• NY Empire State Industrial Activity Index (Aug), fact 4.80, forecast 3.00.
• Philadelphia Fed Index of Industrial Activity (Aug), fact 16.8, forecast 10.0.
• Philadelphia Federal Reserve Employment Index (Aug), fact 3.6, previous value 30.0.
• Retail sales (m/m) (July), fact 0.7%, forecast 0.3%.

Despite the increase in applications for unemployment benefits, general tone of the US data block turned out to be positive. The main positive note of the report was the data on retail sales. Thus, the US retail sales for July increased after a three-month decline. This actually serves as an indicator of maintaining a high level of consumer spending and the development of the US economy.

Fig. 1. U.S. Retail Core Index Chart

Thanks to positive retail sales data in the US, the US dollar index returned to growth, ignoring the downward correction. But it is worth noting that the risks of a trade war remain a significant limiting factor. So, the level of 98.00-10 acts as a significant resistance, especially in conditions of low yield of US government bonds.

Fig. 2. The US dollar index chart. Current price – 98.00 (10-year US government bonds yield – blue line)

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Hanzenko Anton

Earn with the help of the trade service on the news Erste News!

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