FOREX-Dollar falls after weak retail sales data

* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E

(New throughout)
By Kate Duguid
NEW YORK, May 14 (Reuters) - The U.S. dollar edged lower
against major currencies on Friday after a report that U.S.
retail sales unexpectedly stalled in April and as fears of
accelerating inflation receded.
The greenback =USD was down half a percent against a
basket of currencies, last at 90.341, retracing most of the
gains made earlier this week after data showed a surprise surge
in consumer prices.
The Commerce Department said on Friday that retail sales
were unchanged in April after recording a 10.7% surge in March,
boosted by stimulus checks. But another acceleration in retail
sales is likely in the coming months as the U.S. economy reopens
and Americans spend the savings they have been amassing.
"The U.S. dollar pared more of its weekly gain Friday after
disappointing news on America's main growth engine, the
consumer, added more evidence of an uneven recovery," wrote Joe
Manimbo, senior market analyst at Western Union Business
Solutions.
Friday's drop erases some of a two-day rally in the dollar
after data on Wednesday showed U.S. consumer prices increased by
the most in nearly 12 years. While the Fed has pledged to keep
interest rates low even as inflation rises, some in the market
have bet that the Fed will be forced to act sooner than
expected. Higher interest rates strengthen the dollar.
"Tepid data serves as a strong vote of confidence in the
Fed's low rate outlook, a dovish stance and a key vulnerability
for the dollar," said Manimbo.
The euro EUR=EBS was among the gainers against the dollar
on the day, up 0.46% at $1.213. Wall Street also bounced back on
Thursday and Friday after falling earlier in the week. The
return of risk appetite that bolstered U.S. stocks also helped
to support the euro.
The pound GBP=D3 is on track to gain more than 0.75% this
week, on bets of a strong economic recovery in Britain and
expectations that any Scottish independence referendum could be
a ways off. In cryptocurrencies, Bitcoin BTC=BTSP is down more than
13% this week after Tesla boss Elon Musk said he would stop
accepting the token as payment due to environmental concerns. It
was moderately stronger on Friday, up 1.87% to trade at
$50,689.11.

<^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
World FX rates https://tmsnrt.rs/2RBWI5E
^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^>