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Forex - GBP/USD almost unchanged after U.K. trade data

Published 08/07/2015, 04:41 AM
© Reuters.  Pound holds steady vs. dollar with U.S. nonfarm payrolls on tap
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Investing.com - The pound was almost unchanged against the U.S. dollar on Friday, after data showed that the U.K. trade deficit widened less than expected in June, as investors remained cautious ahead of U.S. jobs data due later in the day.

GBP/USD hit 1.5524 during European morning trade, the session high; the pair subsequently consolidated at 1.5513.

Cable was likely to find support at 1.5448, the low of July 14 and resistance at 1.5637, Thursday's high.

The Office for National Statistics reported on Friday that the U.K. trade deficit widened to £9.18 billion in June from £8.42 billion in May, whose figure was revised from a previously estimated deficit of £8.00 billion.

Analysts had expected the trade deficit to widen to £9.30 billion in June.

But markets were jittery ahead of the U.S. nonfarm payrolls report due later Friday, which could reinforce expectations for higher interest rates by the Federal Reserve.

The dollar had found support after data on Thursday showed that the number of individuals filing for initial jobless benefits in the U.S. in the week ending August 1 rose by 3,000 to 270,000 from the previous week’s total of 267,000.

Analysts had expected initial jobless claims to rise by 6,000 to 273,000 last week.

Sterling was fractionally lower against the euro, with EUR/GBP easing up 0.08% to 0.7046.

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