US dollar index is down today, dropping as risk appetite improves in the Forex market. US retail sales data is helping, and global stocks are improving. With traders looking for yield, the greenback isn’t needed as a safe haven, and that is sending it lower.
Greenback is down almost across the board following the release of retail sales data that indicates an improvement from the previous month. This is the first time in three months that retail sales have risen, seeing an increase by 0.3 per cent, seasonally adjusted. This represents an improvement over the expected increase of 0.2 per cent.
World stocks are heading higher, and good news from Down Under economies is also contributing to the general feeling of risk appetite in the markets. There is no need for safe haven, and Forex traders are interested in high yielding currencies today, and that is weighing on the US dollar index.
At 13:38 GMT the US dollar index is lower, dropping to 79.3910 from the open at 79.6040. US dollar is lower against most of its major counterparts. EUR/USD is up to 1.3948 from the open at 1.3904. GBP/USD is also higher, moving up to 1.6694 from the open at 1.6619. USD/JPY is lower, dropping to 102.7230 from the open at 102.7525.
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