Investing.com - The pound fell against a the dollar on Thursday on hopes Friday's U.S. monthly jobs report will show continued improvements in the labor market, while disappointing U.K. house price numbers softened the pound.
In U.S. trading on Thursday, GBP/USD was trading down 0.16% at 1.6886 up from a session low of 1.6858 and off a high of 1.6927.
Cable was likely to find support at 1.6739, the low from June 11, and resistance at 1.7001, Monday's high.
The Labor Department on Friday will release its July nonfarm payrolls report, and consensus forecasts see the U.S. economy picking up 230,000 new jobs.
Even if the figure comes in below that number, a reading over 200,000 would represent six straight months of beating that threshold, a sign the labor market is improving even if it's still a little slack.
Earlier Thursday, the Labor Department reported that the number of individuals filing for unemployment assistance in the U.S. last week rose by 23,000 to 302,000 from the previous week’s total of 279,000. Analysts had expected jobless claims to rise by 22,000 to 301,000.
The Labor Department added that the employment cost index rose by 0.7% in the three months to June after a 0.3% increase in the first quarter. Economists had expected a 0.5% gain.
The dollar continued to see support from Wednesday's U.S. gross domestic product report.
The U.S. GDP expanded at an annual rate of 4.0% in the three months to June, blowing past forecasts for a 3.0% reading, according to the Commerce Department. The contraction in the first quarter was revised to 2.1% from a previously reported 2.9%.
Personal consumption grew 2.5%, well above predictions of 1.9%.
Meanwhile in the U.K., the Nationwide Building Society reported earlier that property values rose 0.1% in July from June, missing market calls for a 0.5% reading, which softened the pound.
Property values rose 10.6% on year in July, below expectations for a reading of 11.3%
Elsewhere, sterling was down against the euro, with EUR/GBP up 0.09% at 0.7928, and down against the yen, with GBP/JPY down 0.16% at 173.60.
On Friday, the U.K. is to release data on manufacturing activity.
Markets will move on the U.S. nonfarm payrolls and the unemployment reports, while the Institute of Supply Management is to release data on manufacturing activity.