- German retail sales show 2.5% decline vs. estimated 0.2% uptick
- Euro zone jobless rate down to 12.0%
- Euro zone CPI weaker than expected at 0.7% vs. 0.9% estimate
- Canadian monthly GDP coming up
- U.S. core PCE price index to show 0.1% uptick
Risk aversion was the name of the game in today’s London trading session, as weak data from the euro zone worsened the ongoing selloff. Germany printed a surprise 2.5% decline in retail sales instead of the projected 0.2% uptick while French consumer spending showed a 0.1% decline. Euro zone CPI also disappointed, with a mere 0.7% increase in price levels. The good news though was that the region’s jobless rate improved to 12.0%.
In the next few hours, we’ll get a glimpse of Canada’s monthly GDP reading, which might reflect a 0.2% economic expansion. Also due in today’s U.S. session are medium-tier reports from Uncle Sam, namely the core PCE price index, Chicago PMI, personal spending and income, and the revised UoM consumer sentiment figure.
Bear in mind that weaker than expected figures could keep risk-taking in check, which could lead to more gains for the lower-yielding dollar and yen. Good luck and good trading!
Bonnie and Clyde, peanut butter and jelly, Justin Bieber and his hair. Some things just go well together.
Head on to Big Pippin’s Daily Chart Art for some pip-locking technical setups!