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Forex - Pound rally against dollar stalls at 1.572

Published 02/15/2010, 08:16 AM
Updated 02/15/2010, 08:22 AM
GBP/USD
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GBP/JPY
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Investing.com - The pound's rally against the U.S. dollar stalled during midday European trade on Monday, immediately after Cable hit a daily high at 1.572 as euro zone finance ministers met in Brussels to discuss Greece's debt crisis. 

GBP/USD subsequently retreated to 1.5681, shedding 0.13%. The pair was likely to find resistance at 1.5765, Wednesday's high, and support at 1.5535, last Monday's low – which was also an 8-month low. 

The pound also declined against the yen, with GBP/JPY shedding 0.07% to hit 141.14. 

Meanwhile, the chairman of the group of euro zone ministers, Jean-Claude Juncker, warned as he arrived for the summit on Monday that if Greece did not cut its budget deficit by 4% this year, further austerity steps could be called for. 

"We will have a discussion on the basis of what the European Council agreed upon... Greece has to make sure that it cuts it budget deficit for 2010 by 4 percent and we have to check if this is possible or not, and it will all depend on the answers given to that crucial question," he was quoted by Reuters as telling reporters.

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