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Key US figures look good: retail sales rise 0.6% m/m, better than 0.1% expected. Core sales are +0.7% instead of 0.4%. Inflation figures also look good.

The USD is slightly stronger

Retail sales:

  • The control group is up 0.5%, better than 0.3% expected and on top of an upwards revision for May: 0.5% instead of 0.4%.
  • Headline retail sales is up 0.6%, much better than 0.1% expected but on top of a downwards revision worth -0.3%.
  • Core retail sales are up 0.7%, better than 0.4% expected and without a revision

Inflation data:

  • Core CPI  has edged up 0.2% m/m as expected but 2.3% y/y, above the Fed’s target of 2%.
  • Headline CPI is up 0.2%, slightly below expected and 1% y/y, slightly worse than 1.1% predicted, but that can be blamed on oil prices.
  • Wages are up 1.2% against 1.1% beforehand. This is a minor wage figure in comparison to the NFP one.

Currency reaction:

  • EUR/USD falls some 30 pips to 1.1120 and is now flat on the day.
  • GBP/USD is extending its slide and reaches 1.3325.
  • USD/JPY is up to 105.86, but still hesitating.
  • USD/CAD has erased some of its  earlier falls and is up to 1.2880.
  • AUD/USD is cooling down after the Chinese data and trades at 0.7640.
  • NZD/USD is around 0.7150.

— more coming