Investing.com - The pound edged higher against the U.S. dollar on Friday, but gains were expected to be limited as investors remained cautious amid persistant global turmoil and ahead of the release of U.S. data later in the day.
GBP/USD hit 1.4528 during European morning trade, the session high; the pair subsequently consolidated at 1.4511, adding 0.26%.
Cable was likely to find support at 1.4381, Thursday’s low and resistance at 1.4579, the high of February 10.
Investors remained cautious amid ongoing fears over the health of the global economy and the euro zone financial sector.
Markets were also jittery as oil prices remained below $28 a barel on Friday, even after the United Arab Emirates energy minister said the OPEC was willing to talk with other exporters about cutting output.
In the U.S., Federal Reserve Chair Janet Yellen reiterated to the Senate on Thursday comments made the previous day to Congress.
In testimony before a congressional committee on Wednesday, Yellen said there are good reasons to believe the U.S. will stay on a path of moderate growth that will allow the Fed to pursue "gradual" adjustments to monetary policy.
But she also acknowledged risks facing the U.S. economy from tightening financial conditions driven by falling stock prices and uncertainty over China.
Sterling was higher against the euro, with EUR/GBP declining 0.70% to 0.7770.
Earlier Friday, data showed that German gross domestic product grew 0.3% in the fourth quarter, in line with expectations and unchanged from the previous quarter. Year-on-year, German GDP rose 2.1% in the last quarter, below expectations for a 2.3% growth rate.