Dollar Plunges Amid Surprise Retail Sales Drop

The US dollar fell on Friday after data showed an unexpected decline in retail sales for July. Retail sales dropped 0.6% last month, falling short of economists' forecasts that predicted a 0.1% increase.

This news came as the Federal Reserve policy meeting approaches, with traders weighing their expectations for interest rate hikes. The dollar index, which measures the greenback against a basket of currencies including the yen and the euro, fell 0.25% to 99.67.

The euro rose 0.32% to $1.1564, reaching its highest point since June 17, while sterling strengthened 0.33% to $1.353, a level not seen since May 12.