Investing.com – The pound trimmed losses against the U.S. dollar on Tuesday, easing off five-day low, following a report showing that consumer confidence in the U.S. fell unexpectedly in February.
GBP/USD retreated from 1.6029, the pair’s lowest since February 1 to hit 1.6091 during European late afternoon trade, shedding 0.11%.
Cable was likely to find support at 1.6036, last Friday’s low and resistance at 1.6184, Monday’s high.
Earlier in the day, data showed that the IBD/TIPP Economic Optimism Index slipped to 50.9 in February, down from January's reading of 51.9. Economists had expected the index to increase to 52.8.
A reading above 50.0 indicates optimism, while those below 50.0 point to pessimism.
The pounds earlier losses came after Britain’s government announced a planned GBP800 million extra tax on banks and said it would impose the full amount on bank balance sheets this year, instead of phasing it in.
The pound was also lower against the euro, with EUR/GBP advancing 0.54% to hit 0.8475.
Also Tuesday, industry data showed that U.K. retail sales rose at the fastest pace in ten months in January while a separate report said that U.K. house prices rose to their highest level since July, in the three months to January.
GBP/USD retreated from 1.6029, the pair’s lowest since February 1 to hit 1.6091 during European late afternoon trade, shedding 0.11%.
Cable was likely to find support at 1.6036, last Friday’s low and resistance at 1.6184, Monday’s high.
Earlier in the day, data showed that the IBD/TIPP Economic Optimism Index slipped to 50.9 in February, down from January's reading of 51.9. Economists had expected the index to increase to 52.8.
A reading above 50.0 indicates optimism, while those below 50.0 point to pessimism.
The pounds earlier losses came after Britain’s government announced a planned GBP800 million extra tax on banks and said it would impose the full amount on bank balance sheets this year, instead of phasing it in.
The pound was also lower against the euro, with EUR/GBP advancing 0.54% to hit 0.8475.
Also Tuesday, industry data showed that U.K. retail sales rose at the fastest pace in ten months in January while a separate report said that U.K. house prices rose to their highest level since July, in the three months to January.