Investing.com – The pound edged higher against the U.S. dollar on Wednesday, tracking the euro’s gains on the back of a growing sense of optimism that Greece is moving closer to receiving its next tranche of financial aid.
GBP/USD hit 1.5674 during early European trade, the daily high; the pair subsequently consolidated at 1.5644, easing up 0.05%.
Cable was likely to find support at 1.5525, Tuesday’s low and resistance at 1.5746, the high of September 21.
On Tuesday, Greece's parliament passed a new property tax to meet deficit-reduction targets required to avoid default. Meanwhile, Slovenia and Greece both passed votes to expand the role of the euro zone’s bailout fund, the European Financial Stability Facility.
But concerns over a lack of consensus about how best to address the region’s debt crisis lingered as Germany remained opposed to enlarging the capacity of the EUR440 billion EFSF.
Elsewhere, a report in the Financial Times suggested that divisions have emerged between members of the single currency bloc over the terms of Greece’s second bailout package.
Sentiment on the pound was also weighed by ongoing speculation that the Bank of England may implement more monetary stimulus before the end of the year to boost the faltering U.K. economy.
The pound was down against the euro, with EUR/GBP rising 0.26% to hit 0.8711.
Later in the day, the U.S. was to publish government data on durable goods orders, while Federal Reserve Chairman Ben Bernanke was scheduled to speak.
GBP/USD hit 1.5674 during early European trade, the daily high; the pair subsequently consolidated at 1.5644, easing up 0.05%.
Cable was likely to find support at 1.5525, Tuesday’s low and resistance at 1.5746, the high of September 21.
On Tuesday, Greece's parliament passed a new property tax to meet deficit-reduction targets required to avoid default. Meanwhile, Slovenia and Greece both passed votes to expand the role of the euro zone’s bailout fund, the European Financial Stability Facility.
But concerns over a lack of consensus about how best to address the region’s debt crisis lingered as Germany remained opposed to enlarging the capacity of the EUR440 billion EFSF.
Elsewhere, a report in the Financial Times suggested that divisions have emerged between members of the single currency bloc over the terms of Greece’s second bailout package.
Sentiment on the pound was also weighed by ongoing speculation that the Bank of England may implement more monetary stimulus before the end of the year to boost the faltering U.K. economy.
The pound was down against the euro, with EUR/GBP rising 0.26% to hit 0.8711.
Later in the day, the U.S. was to publish government data on durable goods orders, while Federal Reserve Chairman Ben Bernanke was scheduled to speak.