U.S. Retail Sales Beat Expectations in May, Boosting Dollar

U.S. retail sales rose more than expected in May, according to Commerce Department data released Wednesday. The stronger-than-forecast reading signals resilient consumer spending, a key driver of U.S. economic growth. The surprise beat is bullish for the USD, as it reduces expectations for near-term Fed rate cuts. EUR/USD and GBP/USD are the most exposed pairs, with traders likely to reprice dollar strength across majors following the release.