17.07.201909:29 Forex Analysis & Reviews: EURUSD: positive economic data led to a further strengthening of the US dollar. Trump wants to manage interest rates

Yesterday's data on the US economy, which showed a good increase in spending by Americans, supported the US dollar, which continued to strengthen its position against the euro and the pound.

According to the data, the Americans increased their spending in June, which will surely have a positive impact on the growth rate of the economy in the 2nd quarter of this year.

The report of the US Department of Commerce stated that retail sales in June 2019 increased by 0.4% compared to the previous month, while economists had expected sales growth in June to be 0.1%.

Compared to the same period of the previous year, retail sales increased by 3.4% in June.

However, despite the fact that costs continue to rise for the fourth consecutive month, many economists expect that economic growth will slow after the active pace that had been observed in the 1st quarter of this year.

Industrial production remained unchanged in June. Such data was provided by the Federal Reserve. Weak growth in utilities has hurt the overall indicator, while good growth has been seen in manufacturing.

According to the data, industrial production in June remained unchanged compared to the previous month, while economists had expected that production would show an increase of 0.2% after a rise of 0.4% in May this year. Compared to the same period of the previous year, industrial production increased by 1.3% in June.

The report on the growth of inventories of American companies did not cause serious market changes.

As indicated in the data of the US Department of Commerce, stocks in May increased by 0.3% compared to the previous month, amounting to 2,036 trillion US dollars. The data completely coincided with the forecasts of economists. But import inflation has fallen, which is bad news for the Federal Reserve, which is closely monitoring inflationary changes.

According to the US Department of Labor, prices for foreign goods in the United States in June of this year decreased by 0.8% compared with the previous month. Economists also expected a 0.8% decline in prices. The report also stated that the May fee increase had no effect on the data.

Data on the sentiment indicator of housing builders in the US were ignored by the market, as they were not of great importance.

According to the report of the National Association of Housing Builders, in July this year, the figure increased, indicating a possible continuation of the strengthening of the sector. Thus, the housing market index in July rose to 65 points against 64 points in June, while economists had expected the index in July to be 64 points.

Yesterday, traders were pleased, and maybe someone was upset by the statements of the US President.

Donald Trump noted that the blame for the fact that the economic indicators are not as good as they could be lies on the qualitative tightening of the Fed's policy, while Europe and China are pumping money into their economies and lowering rates. Trump also noted that in China the rates are what they want to see the President. In his opinion, Xi is not only the President but also the Chairman of his own Fed. Apparently, Trump is also not against regulating the policy of the American Central Bank.