Investing.com - The pound fell to fresh three-month lows against the U.S. dollar, as the possibility for further easing measures by the European Central Bank weighed on sentiment and as investors were cautious ahead of the U.S. nonfarm payrolls report due later in the day.
GBP/USD hit 1.5214 during European morning trade, the pair's lowest since June 5; the pair subsequently consolidated at 1.5238, slipping 0.13%.
Cable was likely to find support at 1.5188, the low of June 5 and resistance at 1.5314, Thursday's high.
The ECB indicated on Thursday that it could expand its quantitative easing program amid increased downside risks to its inflation outlook.
The ECB lowered its forecast for growth and inflation, citing oil prices and slowing growth in China.
The comments came after the ECB kept its benchmark interest rate at a record-low 0.05%, in line with the consensus expectation.
The pound also remained under pressure after data on Thursday showed that the U.K. Markit services purchasing managers' index fell to 55.6 in August from 57.4 in July. It was the weakest reading since May 2013 and was well below economists’ forecasts of 57.6.
Investors were looking ahead to Friday's highly-anticipated jobs report for further indications on the strength of the economy and signs of a potential rate hike by the Federal Reserve this month.
Data on Thursday showed that the number of individuals filing for initial jobless benefits in the U.S. in the week ending August 29 increased by 12,000 to 282,000 from the previous week’s total of 270,000, compared to expectations for a 5,000 rise.
First-time jobless claims have held below the 300,000-level for 26 consecutive weeks, which is usually associated with a firming labor market.
Sterling was lower against the euro, with EUR/GBP gaining 0.42% to 0.7320.