Retail sales numbers from the United States have come out, printing a result that was in line with broad expectations.
Data from the Commerce Department showed that retail sales rose by 0.3% in January after a slower 0.2% increase earlier.
Excluding motor vehicle parts, retail sales were up 0.3% following a 0.6% increase earlier.
German GDP Stays Flat in Q4, 2019
Germany’s economic growth stalled in the final three months of the year in 2019. This came on slower consumption and weaker exports.
GDP remained unchanged from the previous quarter. Meanwhile, the Q3 2019 GDP was revised to show a 0.2% increase. For 2019, the annual GDP growth rate for Germany is 0.6%. This is the slowest growth rate since 2013.
EURUSD Remains Pinned to the Downside
The common currency did not make much progress as it consolidates near the 1.0839 level. Price action indicates a possible rebound on the divergence.
However, the falling trend line needs to be breached. The outlook for the euro continues to remain weak on the fundamentals.
Crude Posts Weekly Gain for 1st Time in 6 Weeks
Crude oil prices made its first modest weekly gains in nearly six-weeks. The gains come following the initial sell-off.
Oil traders were bearish assuming weaker demand due to the virus outbreak. Meanwhile, a weekly build in inventory also did not dampen the rebound in the commodity.
WTI Breaks Resistance, Can it Rise Further?
Crude oil prices settled above the 51.65 resistance level into Friday’s close. The gains come following a strong selling pressure in the previous weeks.
The gains could see the corrective move pushing prices toward the 54.73 level next. This is, of course, if price action can hold above the 51.65 resistance level.
Gold Remains a Favorite Amid Uncertainty
Despite equity markets maintaining their lead, gold prices also rose last week. The gains in the precious metal come amid the uncertainty due to the Coronavirus outbreak.
The US administration announced that it was working on developing a drug to cure the virus. The precious metal is trading closing to the previous highs made late in December.
XAUUSD Clears Resistance as it Approaches Previous Highs
The precious metal cleared the resistance area of the 1573 – 1569 region. Price action is close to testing the previous highs near 1589.50.
This will be a strong resistance area between 1589.50 and 1594.50. A breakout above this level could send XAUUSD further toward the 1640 level next.