Dollar Gains Against Rivals on Positive U.S. Retail Sales Data

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By Jacob Maslow

The dollar rose on Monday beating other major currencies, as Friday’s release of positive United States (U.S.) retail sales data continued to lend support to the greenback.

Trading volumes on Monday, however, was limited as American markets were closed in observance of Presidents’ Day.

USD/JPY inched up 0.63% to 113.93, the highest since Wednesday last week.

The Commerce Department reported on Friday that retail sales in the U.S.  grew by 0.2% in January, beating expectations of a 0.1% increase.

Meanwhile, the Japanese yen weakened after Japanese Prime Minister Shinzo Abe told parliament that “excessive currency volatility is undesirable,” adding Tokyo would intervene in the currency market, if needed.

EUR/USD dropped by 0.49% to trade at 1.1200.

Elsewhere, the greenback was stronger against the sterling, with GBP/USD dropping 0.16% at 1.4484. The American currency likewise gained 0.52% against Swiss franc, with the USD/CHF inching up to 0.9826.

Meanwhile, the Australian and New Zealand dollars both remained higher against their American counterpart, with AUD/USD  going up 0.56% at 0.7148 and the NZD/USD rising 0.65% to trade at 0.6667.

USD/CAD declined 0.19% to trade at 1.3820, as the recovery in oil prices strengthened the commodity-hedged Canadian dollar.

The U.S. dollar index, which tracks the American currency’s position against a trade-weighted group of six major currencies, was up 0.41% at 96.38.

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