Advanced Monthly Retail Sales For May increased by 0.3% less than the consensus forecast of 0.5%. The Core Retail Sales excluding auto increased by 0.1%, also lower than the estimates of 0.4%.
The unemployment claims jumped to 317K more than 313K for last week and 306K estimates.
The combined effect was weakening of S&P 500 futures from a high of 1947.75, a high reached late last night in Asian sessions, to a low of 1939.75 – only 0.75 above yesterday’s low. A break below will put more bearish pressures to get to the next support level near 1915.
The retail sales number indicate further dampening inflationary pressures, leading to weakening of US dollar. The best indicator is the USD/JPY currency pair, which is dropping towards the support levels of 101.69 and 101.39