Friday’s data releases, particularly the US PCE price index, are likely to drive movement in all three currencies. Stay tuned for updates and potential shifts in market sentiment.

Canadian Dollar Awaits Cues:

• CAD remains subdued despite weaker USD after Thursday’s disappointing US GDP.
• Key data releases today: Canada’s GDP and US PCE price index could spark movement.
• Fed unlikely to cut rates aggressively in 2024, dampening hopes for stronger CAD.

Japanese Yen Holds Steady:

• Core inflation dips as expected, providing little direction for JPY.
• Market focus on US PCE data later today for potential yen volatility.
• BoJ policy tweak still in the spotlight, raising uncertainty about future monetary policy.

British Pound Mixed Signals:

• GBP edges higher despite mixed UK data – strong retail sales vs. contracting GDP.
• Recession fears linger as Q3 GDP falls, but BoE may stay hawkish due to resilient retail.
• GBP awaits direction from US PCE data and further developments in UK economy.

Key Events:

• Canada GDP
• US PCE Price Index

Technical Levels:

• USD/CAD: Resistance at 1.3311, 1.3345; Support at 1.3246, 1.3212
• USD/JPY: Resistance at 142.60, 143.14; Support at 141.57, 141.03
• GBP/USD: Resistance at 1.2720, 1.2750; Support at 1.2636, 1.2582