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U.S. retail sales inch up in February, matching consensus

Published 03/15/2017, 08:32 AM
U.S. retail sales rose 0.1% in February, core sales gain 0.2%
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Investing.com - Retail sales in the U.S. edged forward as expected in February, underlining optimism about consumer spending being able to push economic growth, official data showed on Wednesday.

In a report, the U.S. Commerce Department said that retail sales rose 0.1% in February from the prior month, in line with forecasts. January retail sales increased 0.6%, whose figure was revised from an initial 0.4% rise.

Rising retail sales over time correlate with stronger economic growth, while weaker sales signal a declining economy.

Core retail sales, which exclude automobile sales, increased by a seasonally adjusted 0.2% in February, in line with consensus expectations. Core sales in the prior month were revised to a 1.2% advance from the prior 0.8% gain.

Core sales correspond most closely with the consumer spending component of the government's gross domestic product report. Consumer spending accounts for as much as 70% of U.S. economic growth.

After the report, which was released simultaneously with inflation data for the same month and the March NY Empire State manufacturing index, EUR/USD was trading at 1.0623 from around 1.0630 ahead of the release of the data, GBP/USD was at 1.2192, compared to 1.2204 previously, while USD/JPY was at 114.72 from 114.58 earlier.

The US dollar index, which tracks the greenback against a basket of six major rivals, was at 101.46, compared to 101.39 ahead of the report.

Meanwhile, U.S. stock futures traded higher ahead of the market open. The Dow futures gained 35 points, or 0.17%, the S&P 500 futures rose 5 points, or 0.22%, while the Nasdaq 100 futures advanced 8 points, or 0.14%.

Elsewhere, in the commodities market, gold futures traded at $1,198.65 a troy ounce, compared to $1,199.75 ahead of the data, while crude oil traded at $48.60, compared to $48.69 prior to the release.

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