Investing.com - Retail sales in the U.S. unexpectedly fell in March for a third consecutive month, underlining concerns over the economic outlook, official data showed on Tuesday.
In a report, the U.S. Commerce Department said that retail sales decreased by a seasonally adjusted 0.3% last month, surprising the forecast for a rise of 0.1%. Retail sales for February had dropped 0.1%.
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 March, compared to forecasts for an advance of 0.4%. Core sales in February declined 0.1%.
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.
The dollar pared gains after the publication. EUR/USD was trading at 1.1319 from around 1.1306 ahead of the release of the data, GBP/USD was at 1.4249 from 1.4227 earlier, while USD/JPY was at 109.08 from 109.32 earlier.
The US dollar index, which tracks the greenback against a basket of six major rivals, was at 94.47, compared to 94.60 ahead of the report.
Meanwhile, U.S. stock futures pointed to a higher open. The Dow futures pointed to a gain of 0.44%, the S&P 500 futures ticked up 0.46%, while the Nasdaq 100 futures rose 0.66%.
Elsewhere, in the commodities market, gold futures traded at $1,248.40 a troy ounce, compared to $1,245.00 ahead of the data, while crude oil traded at $41.56 a barrel from $41.60 earlier.