When are US monthly retail sales figures and how could they affect EUR/USD?


US monthly retail sales overview

Friday's US economic docket highlights the release of monthly retail sales figures, scheduled at 13:30 GMT. Adding to the previous month's stronger-than-expected 0.3% increase, consensus estimates point a yet another solid growth of 0.5% for November. Sales excluding automobiles (core retail sales) are seen rising by 0.4% during the reported month as compared to 0.2% growth recorded in October. Meanwhile, the closely watched Retail Sales Control Group is expected to match the previous month's reading and come in to show a rise of 0.3% in November.

As Joseph Trevisani, Senior Analyst at FXStreet explains: “The labor market should continue to fund a healthy consumer sector. Jobs, wages and unemployment have given households every reason to be expansive heading into the holiday season. If the two long-running problems for the global economy, Brexit and the China trade war are settled, or at least removed as a source of overriding concern, expect even more out of the US consumer.”

How could it affect EUR/USD?

Valeria Bednarik, FXStreet's own Chief Analyst provided important technical levels to trade the EUR/USD pair: “The Technical Confluences Indicator shows that, for the EUR/USD pair, the path is clear to the upside as there’s only a medium relevant resistance at around 1.1220, where it bottomed in 2018. Around the level, there are other significant indicators that reinforce the area. Nevertheless, and once clear there’s nothing in the way toward the 1.1300/10 price zone.”

“Things are a bit more complicated for bears, with intraday highs and the 20 DMA at around 1.1150, providing an immediate support. A stronger one comes at 1.1120, where the pair topped in the previous week, and also has the 23.6% retracement of the October rally. Once below this last, 1.1065 is the next relevant level, although chances of a slide toward this last are limited.”

Key Notes

   •   US Retail Sales November Preview: Forward consumers

   •   US retail sales amongst market movers today – Danske Bank

   •   EUR/USD Technical Analysis: Trims a part of early strong gains to 4-month tops

About US retail sales

The Retail Sales released by the US Census Bureau measures the total receipts of retail stores. Monthly per cent changes reflect the rate of changes in such sales. Changes in Retail Sales are widely followed as an indicator of consumer spending. Generally speaking, a high reading is seen as positive (or bullish) for the USD, while a low reading is seen as negative (or bearish).

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 assets. 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 Open Markets 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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD hits two-month lows amid USD strength

EUR/USD has pared its gains that followed upbeat preliminary PMIs for Germany came out above expectations, pointing to a recovery. The USD is advancing amid fears of the coronavirus.

EUR/USD News

GBP/USD drops below 1.31 amid USD strength, fails to sustain PMI gains

GBP/USD is trading below  1.31 after hitting a fresh high of 1.3172. The UK Manufacturing PMI beat with 49.8 and Services PMI with 52.9. The USD is gaining ground across the board.

GBP/USD News

Cryptos: Bears take over and draw a bloody moon

Despite appearances, Bitcoin is the asset with the best risk/benefit ratio. The current falls are adjusted to the ranges of the previous rise. Downward momentum expires in the first half of February.

Read more

Gold rebounds above $1560

The XAU/USD pair dropped to a daily low of $1556.70 during the European trading hours as the easing worries over coronavirus becoming a global epidemic and a broad-based USD strength put the pair under bearish pressure.

Gold News

USD/JPY drops to two-week lows near 109.30

The USD/JPY pair reversed its direction during the American trading hours as the risk-off atmosphere allowed the JPY to find demand as a safe-haven.

USD/JPY News

Forex MAJORS

Cryptocurrencies

Signatures