![Daily Flows & Insights – U.S. Retail Sales](/_next/image?url=https%3A%2F%2Fdata.curve.com.au%2Fwp-content%2Fuploads%2F2023%2F10%2Fpexels-charles-parker-5845705-1024x683.jpg&w=3840&q=75)
Daily Flows
- Significant flow was directed to 5 year term deposits with an above market offering of 5.22%.
- In the term deposit space, the most competitive pricing is coming from ‘A’ rated counterparties with 5.10% for 6 months, 5.18% for 1 year and 5.06% for 4 years being offered.
- NCD activity was quiet but those with funds to place were still able to pick up +45 for 3 months.
U.S. Retail Sales
- U.S. retail sales experienced a significant decline in January, marking the largest drop in 10 months, attributed partly to cold weather and seasonal adjustment challenges.
- Despite the drop, economists suggest caution in interpreting the data, emphasising the continuing strength of the labor market and elevated wage growth, which should support ongoing economic expansion.
- Economists had anticipated a smaller decline of 0.1% for January, indicating that the actual drop exceeded expectations.
- Weather conditions, particularly snowstorms, contributed to decreased sales in sectors like building materials, motor vehicles, and gasoline, while adjustments for seasonal factors were impacted by challenges posed by the COVID-19 pandemic.
- The weaker than expected resulted pushed market sentiment, bringing rate cute expectations further forward.