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Dollar Mixed trend against the euro , moving from growth to decline. Note that the weak retail sales data , coupled with denials of prospects for the appointment of Larry Summers as the new head of the Federal Reserve, sent EUR / USD pair beyond $ 1.3320 , after which the euro has lost momentum , making it possible to show a sharp rise in the dollar , which also plays out.
The White House was forced to issue an official denial excited the market rumors that President Obama intends to nominate Larry Summers to head the Federal Reserve .
President Obama has not yet made a decision on the issue of successor Ben Bernanke as head of the Fed , said White House spokesman Amy Brundage , who wrote on his Twitter account that the " morning reports in the Japanese press are not true ." As for the data, they showed that retail sales rose by a seasonally adjusted 0.2 % in August compared with the previous month , showing a smaller increase than the 0.5 % growth forecast of economists and the smallest increase since April. Most of the increase was due to a surge in car sales, which tend to be unstable and to recover from the recession, while households have made a long-awaited purchase of new cars .
Excluding autos, retail sales rose by only 0.1 %, which is a sign of weakness for the broader discretionary spending .
At the same time, the report contains some positive points : sales in July were stronger than previously thought , and showed an increase of 0.4 % compared to the initial 0.2 %.
We add that the current dynamics of trading is also associated with the upcoming Fed meeting , which is scheduled for next week.
Value of the pound has increased significantly against the dollar, which continues to help the previously reported rate of unemployment . Note that the unemployment rate / p at 7.7 % was lower than expected and made a positive contribution to the overall economic picture of the country. Earlier today it was announced that in the month of July, the volume of production in the construction sector rose a seasonally adjusted 2.2 per cent ( on a monthly basis ) , while recovering from the 1.1 - percent decline, which was recorded in June. Add that led recovery volumes stood 3.2 percentage increase in new construction, as well as an increase of 0.6 percent as repair and maintenance. In addition, the data showed that the annualized construction output rose in July by 2 percent, which was slightly slower than the 2.2 - percent growth , marked by a month earlier . The volume of new work increased by 5.8 percent per year, while the repair work fell by 3.6 per cent .
Despite the downward revisions in the June data , the total score for the 2 nd quarter was revised to increase , but it was not enough to make an impact on GDP. Meanwhile, America has published a statistics block , which was generally negative. The index of consumer sentiment University of Michigan was 76.8 vs. 82.0 .
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