NOK knocks higher and Loonie lags in quiet....>

FOREX: NOK knocks higher and Loonie lags in quiet start to the week

-Both volume and price action dimmed sharply (more so than usual) at the close

of European trading and markets look to finish the US trading day roughly level

with where Europe closed.

-USD trades mixed with little firm direction ahead of the testimony from new Fed

chair Jerome Powell both tomorrow and Thursday. While his comments were trailed

by the statement release on Friday, Powell's comments will be eyed closely.

-NOK rose for the 3rd consecutive day, but remains well within recent ranges

after dropping at the first half of last week.

-CAD is the poorest performer despite higher oil as markets reverse some of the

gains seen Friday. Nonetheless, CAD bears were unable to force a close above the

200DMA in USD/CAD.

-The underperformance in USD/JPY early Monday trading was erased throughout the

session with dip buyers quickly lifting the pair back above Y107.

-Attention turns to regional German CPIs, US durables and retail sales, Powell's

testimony and speeches from ECB's Weidmann and Mersch.