FX pairs searching for a catalyst - Scotiabank

FXStreet (Guatemala) - Camilla Sutton, Chief FX Strategist, Managing Director noted that the USD is mixed, but most currencies are quiet into the long weekend.

Key Quotes:

"FX pairs are trading in ranges, searching for a catalyst but increasingly
warning of a shift in the USD bull trade."

"Shifting GDP sentiment (lower in the U.S. and higher in Europe) could
prove a warning sign for USD bulls."

"CAD is soft but still within yesterday’s range. Oil and interest rate expectations
remain core drivers. Today: manufacturing sales is key."

"EUR is flat even after European GDP surprises higher, particularly in
Germany. Consensus outlook is also beginning to shift."

"GBP is trading back above its 50-day; ignoring slightly weaker data in a
notably quiet session."

"USD/JPY is flat with a quiet session likely ahead."

"AUD is flat as Gov Stevens provides no surprises suggesting RBA could
do more and AUD is still vulnerable to downside risk."

"CNY is strong, next week’s New Year holidays could create awkward
chart paterns."