Archived IMT (2009.01.14)

The 2.7% decline in US Dec retail sales defies the receding signs of stress in credit markets and expose the ongoing deterioration on the economic front.

The shocking report triggers sharp return to the risk-driven trades of H2 2008 boosting USD and JPY, but this also means that USDJPY could head towards towards my projected target of 86.40 (see lasty week's H&S analysis). Gold still holds above TL support of $815.