US Retail Sales: Why the dollar is up when the US economy is down

US Retail Sales figures for March plunged by 8.7%. The safe-haven dollar has room to extend its gains, according to FXStreet’s analyst Yohay Elam.

Key quotes

“US Retail Sales figures for March plunged by 8.7%.” 

“The New York Federal Reserve's Manufacturing Index collapsed to -78.2 points, the lowest on record.” 

“The weak US figures are good for the dollar. The greenback is the world's reserve currency and traders flock into it in times of trouble. Moreover, when the world's largest economy takes a hit, others suffer more.” 

“Weekly jobless claims are awaited on Thursday and the Federal Reserve's Beige Book is due beforehand. It may also be gloomy and thus dollar-positive.”