Analysts at Westpac expect US retail sales to print 0.4% for February after they were a major disappointment in January, recording the weakest outcome in 11 months as households cut back on auto purchases and building materials.
“A downward revision was also made to the December outcome, exaggerating the weakness.”
“It is worth noting that, excluding these more volatile items, core retail sales were also soft, a flat outcome in January following a revised 0.2% decline in December. Coming at a time of strong confidence and employment growth, the outcomes jar with the market's strong narrative.”
“Come February, we anticipate spending will pick up. However, at less than 5% annualised, it is an outcome best regarded as solid not strong. For consumption to accelerate further, wage inflation will have to strengthen across the economy and confidence hold up.”
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these securities. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Forex involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.