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Forex - GBP/USD hits fresh 6-month high amid renewed recovery hopes

Published 08/03/2010, 03:43 AM
GBP/USD
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EUR/GBP
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Investing.com – The pound hit a fresh 6-month high against the U.S. dollar on Tuesday, after comments by the U.S. Federal Reserve Chairman boosted hopes that the global economic recovery is strengthening.

GBP/USD hit 1.5952 during European morning trade, the pair's highest since February 3; the pair subsequently consolidated at 1.5950, gaining 0.42%.

Cable was likely to find support at 1.5694, Monday's low and resistance at 1.6275, the high of January 28.

Late Monday, U.S. Fed chief Ben Bernanke said the U.S. economy “is now expanding at a moderate pace.” His remarks came shortly after better-than-expected U.S. manufacturing data and eased fears of a slowdown in the pace of U.S. growth.

The pound was also up against the euro, with EUR/GBP shedding 0.19% to hit 0.8280.

Later in the day, the U.S. was to release key data on pending home sales and personal consumption expenditure.

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