{"id":60736,"date":"2023-04-17T10:16:58","date_gmt":"2023-04-17T07:16:58","guid":{"rendered":"https:\/\/ironfx-com-php8.wp-dev.int.theitops.net\/?p=60736"},"modified":"2025-10-17T09:20:43","modified_gmt":"2025-10-17T06:20:43","slug":"mixed-us-data-provides-support-for-the-greenback","status":"publish","type":"post","link":"https:\/\/www.ironfx-id.com\/ar\/mixed-us-data-provides-support-for-the-greenback\/","title":{"rendered":"Mixed US data provides support for the greenback"},"content":{"rendered":"

During Friday\u2019s American session, we saw the USD gain across the board following mixed releases on Friday. Retail sales came in lower than expected for March at -1.0% compared to the predicted figure of -0.4% showing a potential tightening in consumer spending, as such reduced consumer spending may limit the Fed\u2019s ability to continue increasing interest rates as the economy may be reaching a slowdown. Yet we note that Industrial production and the Michigan consumer confidence ticked up, potentially indicating that the overall economy may still be growing. Furthermore, we note Fed Governor Waller\u2019s speech on Friday who when discussing the state of Atlanta\u2019s Fed GDP growth tracker stated, \u201cThis growth would mean that, so far, tighter monetary policy and credit conditions are not doing much to restrain aggregate demand\u201d,implying that the Fed may need to raise interest rates further during their May meeting thus translating into support for the greenback as we near the FOMC blackout period this Sunday. Moreover we note the earnings release by JPMorgan, Citigroup and Wells Fargo on Friday where all three banks reported greater than expected earnings , in particular JPMorgan posted a 2% increase in deposits ,indicative of the safe heaven inflows from regional banks into larger banks who are perceived as more stable. In the European theatre we highlight Bundesbank President Nagel who on Friday stated that \u201cIt is clear that the monetary policy measures still have some way to go for their full effect on inflation to unfold.\u00a0\u201d Implying that one of Europe\u2019s largest economies expects interest rates to increase as inflationary Pressures remain high, potentially providing support for the EUR. Last Friday the French Constitutional Court ruled, as was expected in favour of French President Macron\u2019s pension plan to raise the retirement age from 62 to 64. Resulting in continued protests against the Government in one of Europe\u2019s largest economies. This may impact the EUR in the long run as the continued protests may skew economic data for the French economy.<\/p>\n\n\n\n

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