Dollar rises for third day in a row ahead of US retail sales

US dollar rose on Friday against a basket of global currencies to continue its gains for the third day in a row, with continuation of dollar purchases as it's currently stands as the best alternative investment, due to the rising risks in the global financial markets, ahead of the monthly retail sales in the United States, which is a strong indicator for the world's largest economy's growth rate in the second quarter of this year.

The dollar index rose more than 0.2% to 97.18 points, with the opening level of 96.98 points, and the lowest level of 96.92 points.

Yesterday, the index gained 0.1%, the second consecutive daily gain, as US currency purchases continued to improve against most major and minor currencies.

The index rose 0.7% this week, achieving its second weekly gain in the past three weeks as investors continued to focus on  dollar purchases as it's currently stands as the best alternative investment at this times of the heightened market risk.

These risks are now in the uncertainty around the US-China trade talks, which foreshadow the escalation of the trade war between the world's biggest economies, as well as the rising geopolitical tensions in the Middle East.

Investors are looking ahead for important economic data in the US with the monthly retail sales index, which is counted as one of the most important indicators of consumer spending, that reflects more than 70% of GDP.

Retail sales are expected to rise by 0.7% in May from 0.2% in April. while the core retail sales index (excluding auto sales) are expected to rise 0.5% from 0.1% in the previous reading.