US Dollar Outlook is Bullish on Trade Deal, Retail Sales Data. After a challenging period in the commodities and industrial commodities markets that led to high levels of volatility, the US Dollar Outlook Report found that, though the commodities and industrial commodities markets were down around 10%, some key indicators like the small cap EM commodities index were still elevated. Similarly, the healthcare sector is thriving with overall health care spending growth, whereas many other sectors, like electronics, we’re still on a negative note. On the other hand, a variety of influential retailers were up after their earnings announcements.
Retailers also had some great news. Further, Retail Sales Data also came in positive, which is always important to the US Dollar Outlook. Also, the sectoral sector data were positive and the high dollar outlook is likely to continue. And to think, a group of retail traders opined that it is unlikely that the Consumer Confidence Index will fall, because a substantial amount of that would come from the wholesale/retail sectors.
The US Dollar Outlook report on retail sales was somewhat more positive. Consumer Confidence was also out of the decline area. Of course, growth in commodity prices is usually a little up, and the Refiners Index will likely keep down, which means that the Consumer Confidence index will likely continue to be positive, and in the higher numbers.
The retail sales data also found that “cool weather” contributed to brisk sales. The following is from the US Dollar Outlook report:
Meanwhile, the increase in retail sales points to further gains in the retail sector. These gains appear to be slightly outweighing the lack of retail sales (which would be normally be interpreted as being negative).
From the US Dollar Outlook, we see the key indicators for Industrial Commodities support the US Dollar Outlook, though not the Consumer Confidenceor Small Cap Index. We also see the Retail Sales and the Refiners Index are positive, though, as we outlined in the breakdown, they are going to be running in some pretty high numbers.
And then the Retail Sales Numbers came in very strong and retail sales numbers. Overall, this is a pretty good retail sales report.
Overall, the US Dollar Outlook remains bullish on all of these key indices and on retail sales data. There is a lot of support for this in the retail sector data. Also, this has been a period in which global uncertainty has continued to grow, and, not surprisingly, the retail sector has been negatively affected.
As always, we will continue to be bullish on Retail Sales, Small Cap Index and Retail Sales figures. It is very important to see the balance sheet health of retail, as the strength in retail sales may provide a level of cover to this downside scenario.
What we saw in the retail sales figures is that there is some continued strength in the retail sales, and that is good news for the US Dollar Outlook. Retail sales numbers generally are rather strong, and retail sales numbers are not that down at all. And, if these retail sales figures show some strength, then this means that the currency outlook remains bullish on all of these retail sales data indices.
As ever, the US Dollar Outlook is still bullish on retail sales data, although this is not unexpected as retail sales numbers are not down at all. The retail sales figures have been good on retail sales figures.