German Retail Sales increase 1.9% YoY in July vs. 2.6% expected.
- Retail Sales in Germany advanced 1.9% over the year in July.
- EUR/USD stays pressured near 1.1660 following the data.
Retail Sales in Germany rose 1.9% year-over-year (YoY) in July, following a 4.9% jump reported in June, according to official data released by Destatis on Friday.
The market forecast was for a 2.6% increase.
On a monthly basis, Retail Sales dropped 1.5% in July versus June’s 1% growth and -0.4% expected.
Market reaction
These data have a limited impact on the Euro (EUR). At the press time, EUR/USD is trading 0.15% lower on the day at 1.1666.
Euro Price Today
The table below shows the percentage change of Euro (EUR) against listed major currencies today. Euro was the weakest against the New Zealand Dollar.
| USD | EUR | GBP | JPY | CAD | AUD | NZD | CHF | |
|---|---|---|---|---|---|---|---|---|
| USD | 0.12% | 0.09% | 0.12% | 0.02% | -0.14% | -0.16% | 0.11% | |
| EUR | -0.12% | -0.02% | -0.02% | -0.10% | -0.21% | -0.24% | -0.02% | |
| GBP | -0.09% | 0.02% | -0.04% | -0.07% | -0.19% | -0.19% | 0.00% | |
| JPY | -0.12% | 0.02% | 0.04% | -0.03% | -0.27% | -0.25% | 0.07% | |
| CAD | -0.02% | 0.10% | 0.07% | 0.03% | -0.18% | -0.15% | 0.07% | |
| AUD | 0.14% | 0.21% | 0.19% | 0.27% | 0.18% | -0.05% | 0.19% | |
| NZD | 0.16% | 0.24% | 0.19% | 0.25% | 0.15% | 0.05% | 0.25% | |
| CHF | -0.11% | 0.02% | -0.00% | -0.07% | -0.07% | -0.19% | -0.25% |
The heat map shows percentage changes of major currencies against each other. The base currency is picked from the left column, while the quote currency is picked from the top row. For example, if you pick the Euro from the left column and move along the horizontal line to the US Dollar, the percentage change displayed in the box will represent EUR (base)/USD (quote).
This section was published on August 29 at 4:50 GMT as a preview of the German Retail Sales release.
The German Retail Sales Overview
The Federal Statistics Office of Germany, Destatis, will publish the Retail Sales report on Friday at 06:00 GMT.
Germany’s Retail Sales are expected to rise by 2.6% year-over-year (YoY) in July, in comparison to the previous increase of 4.9%. Meanwhile, the monthly Retail Sales are forecast to see a decline of 0.4% in July, following a previous increase of 1.0%.
How could the German Retail Sales affect EUR/USD?
EUR/USD is halting its three-day winning streak, remaining within the 1.1700-1.1650 range ahead of the German Retail Sales. The pair stays under selling pressure as the US Dollar rebounds on profit-taking ahead of the United States (US) Personal Consumption Expenditures (PCE) Price Index release for July. Meanwhile, German preliminary inflation readings are next in focus.
A stronger-than-expected rise in German consumer spending could support the Euro (EUR), pushing the EUR/USD pair toward the 1.1700 round level. A breakout above this level would strengthen the short-term price momentum, opening the door for a test of the monthly high at 1.1742. However, a weaker print may put downward pressure on the pair to test the initial support at the 50-day Exponential Moving Average (EMA) of 1.1607. Further declines could undermine medium-term momentum and drive the pair toward the 1.1500 psychological mark.
