US dollar dips as retail sales growth slows

The U.S. dollar declined Thursday following mixed economic data that signaled weakening consumer sentiment and slowing retail sales, which rose just 0.1% in April after a strong March. Producer prices also dropped, reflecting lower demand for travel-related services amid ongoing policy uncertainty.
Despite a temporary easing of U.S.-China trade tensions, economists expressed concerns about underlying consumer weakness and a likely soft second quarter. The dollar index dipped 0.11%, while expectations for Fed rate cuts shifted to later in the year. Fed officials emphasized the need for more data before adjusting policy, and major banks lowered their recession forecasts.