China’s GDP comes in stronger than expected at 7.3%y/y but not strong enough to suggest a resurgence in growth, the IMF has cut global growth forecasts, and major central banks and industry heads are looking towards Davos. Today, the North American data is likely to be overlooked in favour of more global developments. Into the NA open the USD is mixed, with larges losses from JPY, NZD and CAD and gains from gold, NOK, GBP and CHF. EUR is soft but relatively flat as the ECB meeting looms on Thursday. Over the medium term we continue to expect USD strength.
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