Investing.com – The pound was down against the U.S. dollar on Thursday, falling to a fresh daily low as investors waited to see if the European Central Bank would implement additional bond-buying measures to support euro zone debt markets.
GBP/USD hit 1.5572 during European early afternoon trade, the daily low, the pair subsequently consolidated at 1.5573, shedding 0.29%.
Cable was likely to find support at 1.5483, Tuesday’s low and resistance at 1.5771, the high of November 26.
As the debt crisis in the euro zone stoked fears of contagion, expectations mounted that the ECB would announce plans to keep unlimited liquidity support for banks in place for longer or step up bond purchases after its policy meeting on Thursday.
The problems facing the euro zone have also weighed heavily on the pound given the extensive exposure of U.K. banks to European sovereign debt and also due in large part to the volume of U.K. exports to the 16-nation economic zone.
The pound was also down against the euro, with EUR/GBP climbing 0.44% to hit 0.8446.
Later in the day, the ECB was to announce its benchmark interest rate. The announcement was to be followed by a press conference. Also Thursday, the U.S. was to publish key weekly data on initial jobless claims as well as a report on pending home sales.
GBP/USD hit 1.5572 during European early afternoon trade, the daily low, the pair subsequently consolidated at 1.5573, shedding 0.29%.
Cable was likely to find support at 1.5483, Tuesday’s low and resistance at 1.5771, the high of November 26.
As the debt crisis in the euro zone stoked fears of contagion, expectations mounted that the ECB would announce plans to keep unlimited liquidity support for banks in place for longer or step up bond purchases after its policy meeting on Thursday.
The problems facing the euro zone have also weighed heavily on the pound given the extensive exposure of U.K. banks to European sovereign debt and also due in large part to the volume of U.K. exports to the 16-nation economic zone.
The pound was also down against the euro, with EUR/GBP climbing 0.44% to hit 0.8446.
Later in the day, the ECB was to announce its benchmark interest rate. The announcement was to be followed by a press conference. Also Thursday, the U.S. was to publish key weekly data on initial jobless claims as well as a report on pending home sales.