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US Dollar Rises, Gold Extends Drop After Surging US Retail Sales


Stellar US Retail Sales Suggests Upside Risks to GDP
USD and US Yields Extend Higher, Gold Drops Advertisement
US Retail Sales Surge, US Dollar Extends Higher
A sizeable beat on the latest retail sales data, which has also surpassed the high estimate. The retail control figure, which is important for GDP trackers, rose 6%, surpassing expectations of 0.8% and beating the high estimate of 4.3%. In turn, this will likely feedthrough into upward revisions for US GDP. The initial reaction has seen the USD extend gains across the board to hit fresh session highs with US yields also picking up, while gold remains on the backfoot as 1764 comes into focus. (Full analysis on gold here ). ....

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US Dollar Drops, Gold Pops After Soft NFP Report


US Dollar Drops, Gold Pops After Soft NFP Report
2021-02-05 13:40:00
Justin McQueen,
Analyst
US NFP 49k vs Exp. 50k, Prior Reading Revised Lower
Unemployment Rate Drops 0.4ppts to 6.3%
NFP Mixed as Headline Misses, Revision Downgraded, While Unemployment Rates Beats
A weaker than expected NFP headline at 49k, slightly missing expectations of 50k. Alongside this, the revision to the prior month had been disappointing with a downgrade to -227k from -140k. That said, the unemployment rate had printed notably lower than expectations at 6.3% vs 6.7%, which had been slightly helped by a lower labour force participation rate. Overall, the initial take is that the NFP report is slightly weaker and given the very soft December revision this is likely to reinforce the need for a sizeable fiscal stimulus package as well as a dovish Fed. ....

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