EURUSD, H1
The dollar fell following the mix of data, which saw retail sales marginally better than forecast, overall, and on an ex-auto basis. Headline CPI was very close to expectations, though the core reading missed by a tenth. With the Fed showing concern over persistently low inflation, the cooler CPI outcome appears to have been the FX driver. EURUSD spiked to 1.1872 from under 1.1810, as USDJPY slid to 111.71 from 112.25.
U.S. retail sales climbed 1.6% in September, with sales ex-autos up 1.0%, both a little stronger than forecast. But, the 0.2% decline in August headline sales was nudged up to -0.1%, and the ex-auto gain was revised up to 0.5% from 0.2% previously.
U.S. CPI rose 0.5%, with the core rate up 0.1% in September. not as hot as feared after the PPI jump yesterday. August gains of 0.4% overall and 0.2% on the core were not revised. Compared to last year, the headline number rose to a 2.2% y/y pace, versus 1.9% y/y previously, while the ex-food and energy component was steady at 1.7% y/y. The components showed energy led the uptick, climbing 6.1% after the prior 2.8% gain. Transportation increased 2.8%, while commodities were up 1.1%. Aside from those, gains were more modest. Food prices increased 0.1%. Housing costs edged up 0.2%, as did the owner equivalent rent measure. Medical care and apparel prices each fell 0.1%. Data should give Treasuries a boost.
Recommended Content
Editors’ Picks
EUR/USD trims losses and approaches 1.0800 after US data
The US Dollar renewed its bullish momentum on Tuesday, pressuring EUR/USD and keeping the pair under the critical 1.0800 threshold following the release of US ISM Manufacturing PMI and JOLTS readings.
GBP/USD meets support around 1.2880, USD remains strong
After bottoming out around the 1.2880 region, GBP/USD now manages to attempt a bounce and flirt with the 1.2900 zone in the wake of weaker-than-expected US data releases.
Gold nears $3,100 as fears receded
Gold is easing from its fresh record high near $3,150 but remains well supported above the $3,100 mark. A generalised pullback in US yields is underpinning the yellow metal, as traders stay on the sidelines awaiting clarity on upcoming US tariff announcements.
Dogecoin bulls defend lifeline support as risk-off sentiment continues
Dogecoin trades at $0.1731 during early American hours on Tuesday after recovering from Monday’s support at $0.16. The leading meme coin faced negative headwinds early in the week as investors reacted to comments by Tesla CEO Elon Musk, who heads the special Department of Government Efficiency (D.O.G.E.) in the US.
Is the US economy headed for a recession?
Leading economists say a recession is more likely than originally expected. With new tariffs set to be launched on April 2, investors and economists are growing more concerned about an economic slowdown or recession.
The Best brokers to trade EUR/USD
SPONSORED Discover the top brokers for trading EUR/USD in 2025. Our list features brokers with competitive spreads, fast execution, and powerful platforms. Whether you're a beginner or an expert, find the right partner to navigate the dynamic Forex market.