US Retail Sales rose 0.5% in April, boosting the USD as Treasury yields climb and Fed leadership shifts loom.
The US Dollar Index (DXY) climbed to a two-week high near 98.80 after April Retail Sales increased 0.5%, signaling resilient consumer demand despite higher borrowing costs. The data reinforced expectations of sustained economic strength, lifting Treasury yields and broad USD demand.
Earlier, the USD had weakened against peers but reversed course following the retail sales print, which exceeded some analysts’ projections. The move also followed reports of a potential shift in Federal Reserve leadership, with Stephen Miran resigning from the Fed Board of Governors, paving the way for Kevin Warsh.
EUR/USD fell toward 1.1670, while GBP/USD dropped to a one-month low near 1.3400. USD/JPY approached a two-week high, reflecting the Greenback’s dominance amid rising yields and political uncertainty in the UK.