Investing.com - The pound remained lower against the U.S. dollar on Monday, shrugging off better-than-expected U.S. home sales data as concerns over the handling of the debt crisis in the euro zone continued to weigh.
GBP/USD hit 1.5832 during U.S. morning trade, the daily low; the pair subsequently consolidated at 1.5859, sliding 0.18%.
Cable was likely to find support at 1.5796, the low of February 8 and resistance at 1.5904, the high of February 7.
A report by the National Association of Realtors said earlier that its pending home sales index rose by 2.0% in January, climbing to an almost two-year high, doubling expectations for a 1.0% gain.
Pending home sales for December were revised to a 1.9% drop from a previously reported 3.5% decline.
Meanwhile, concerns over the euro zone’s debt crisis persisted after the Group of 20 nations failed to reach an agreement on enlarging the size of the International Monetary Fund’s lending capacity over the weekend and told European leaders that any outside assistance will be conditional upon a stronger euro zone debt firewall.
Germany has remained opposed to enlarging the size of the European Stability Mechanism, the permanent euro zone bailout fund that is to become active this year.
In addition, the recent rally in oil prices fanned concerns that higher prices could create a drag on the global economic recovery.
The concerns overshadowed optimism about the European Central Bank's second liquidity boosting operation, set to take place on Wednesday, after the bank carried out a similar successful operation in December.
The pound was higher against the euro with EUR/GBP shedding 0.22%, to hit 0.8455.
Also Monday, Germany’s parliament was to hold an extraordinary session to vote on Greece’s second bailout, which was already approved by euro zone finance ministers last week.
GBP/USD hit 1.5832 during U.S. morning trade, the daily low; the pair subsequently consolidated at 1.5859, sliding 0.18%.
Cable was likely to find support at 1.5796, the low of February 8 and resistance at 1.5904, the high of February 7.
A report by the National Association of Realtors said earlier that its pending home sales index rose by 2.0% in January, climbing to an almost two-year high, doubling expectations for a 1.0% gain.
Pending home sales for December were revised to a 1.9% drop from a previously reported 3.5% decline.
Meanwhile, concerns over the euro zone’s debt crisis persisted after the Group of 20 nations failed to reach an agreement on enlarging the size of the International Monetary Fund’s lending capacity over the weekend and told European leaders that any outside assistance will be conditional upon a stronger euro zone debt firewall.
Germany has remained opposed to enlarging the size of the European Stability Mechanism, the permanent euro zone bailout fund that is to become active this year.
In addition, the recent rally in oil prices fanned concerns that higher prices could create a drag on the global economic recovery.
The concerns overshadowed optimism about the European Central Bank's second liquidity boosting operation, set to take place on Wednesday, after the bank carried out a similar successful operation in December.
The pound was higher against the euro with EUR/GBP shedding 0.22%, to hit 0.8455.
Also Monday, Germany’s parliament was to hold an extraordinary session to vote on Greece’s second bailout, which was already approved by euro zone finance ministers last week.