Federal Reserve Bank of Dallas President Richard W. Fisher said that the U.S. will probably see slower economic growth rather than a deeper downturn.

The most likely scenario is that the U.S. will avoid a ``prolonged period of negative economic growth,'' Fisher said during an interview today before a speech in Fort Worth, Texas, without mentioning the term ``recession.'' He also said he's hearing increasing expressions of concern about inflation from executives he speaks with, which got his ``attention.''

Fisher spoke after data this week showed the U.S. is moving closer to a recession, while inflation is accelerating at the same time. He said today that the slowdown in growth will probably last for a ``couple'' quarters and warned that it may be difficult to quickly raise interest rates.

Fed officials anticipate growth of 1.3 percent to 2 percent this year, down from 2.5 percent in 2007. Two members of the panel charged with dating U.S. economic cycles said yesterday that it's too early to decide whether the U.S. is in recession.

TECHNICAL OUTLOOK – DAILY CHARTS

EUR/USD

Resistance: 1.4965

Support: 1.4610

Sentiment: bullish

GBP/USD

Resistance: 1.9825

Support: 1.9410

Sentiment: mixed

AUD/USD

Resistance: 0.9300

Support: 0.9010

Sentiment: bullish but getting overbought, caution!

USD/JPY

Resistance: 108.65

Support: 106.50

Sentiment: mixed

USD/CAD

Resistance: 1.0125

Support: 0.9865

Sentiment: mixed

USD/CHF

Resistance: 1.0960

Support: 1.0600

Sentiment: mixed

GPB/JPY

Resistance: 214.05

Support: 207.85

Sentiment: mildly bullish