Investing.com - The pound was trading close to a three-month high against the U.S. dollar on Tuesday, as investor confidence was boosted by hopes that the European Central Bank and the Federal Reserve will soon act to shore up growth.
GBP/USD hit 1.5909 during European morning trade, the pair’s highest since August 23; the pair subsequently consolidated at 1.5901, gaining 0.10%.
Cable was likely to find support at 1.5777, Friday’s low and near-term resistance at 1.5931, the high of May 17.
Market sentiment continued to be underpinned by expectations that the ECB will announce details of measures to help stabilize the region’s sovereign debt markets after its policy setting meeting on Thursday.
Investors were also anticipating the Federal Reserve’s next policy meeting, amid speculation over how close the U.S. central bank is to implementing another round of easing, after Fed Chairman Ben Bernanke said Friday that bank would act as needed to strengthen the economic recovery.
The pound was slightly lower against the euro, with EUR/GBP inching up 0.08% to 0.7932.
Later Tuesday, the U.K. was to produce a report on construction sector activity, while the Institute for Supply Management was to release a closely watched report on U.S. manufacturing growth.
GBP/USD hit 1.5909 during European morning trade, the pair’s highest since August 23; the pair subsequently consolidated at 1.5901, gaining 0.10%.
Cable was likely to find support at 1.5777, Friday’s low and near-term resistance at 1.5931, the high of May 17.
Market sentiment continued to be underpinned by expectations that the ECB will announce details of measures to help stabilize the region’s sovereign debt markets after its policy setting meeting on Thursday.
Investors were also anticipating the Federal Reserve’s next policy meeting, amid speculation over how close the U.S. central bank is to implementing another round of easing, after Fed Chairman Ben Bernanke said Friday that bank would act as needed to strengthen the economic recovery.
The pound was slightly lower against the euro, with EUR/GBP inching up 0.08% to 0.7932.
Later Tuesday, the U.K. was to produce a report on construction sector activity, while the Institute for Supply Management was to release a closely watched report on U.S. manufacturing growth.