The dollar is keeping steadier so far today as yields nudge back a little higher. The US retail sales data yesterday was a setback for the dollar, as traders reversed the post-CPI moves on the week. That said, there are still some mixed signals in broader markets at the moment.
For today itself, US data will continue to be in focus with producer prices and the University of Michigan consumer sentiment data coming up. So, there might be a little bit more fireworks just before we wrap up the week.
But before we get to that, European trading will feature yet another important data release from the UK. Today, we will be getting the retail sales report and this is one that tends to end up in disappointment more often than not. Consumption activity has been weak in the UK but the estimate for January is expected to reflect a 1.5% monthly jump in retail sales. Although, it comes after a 3.2% monthly decline in December.
That will keep the pound as a point of interest for the session ahead at least. Besides that, there is just a couple light tier data to move things along in the hours ahead.
0700 GMT – Germany January wholesale price index
0700 GMT – UK January retail sales
0745 GMT – France January final CPI figures
That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.