Investing.com - The pound was fractionally higher against the U.S. dollar on Monday, but gains were capped as concerns over the worsening debt crisis in the euro zone continued to dominate market sentiment.
GBP/USD hit 1.5448 during European morning trade, the daily high; the pair subsequently consolidated at 1.5447, adding 0.13%.
Cable was likely to find support at 1.5361, the low of December 29 and resistance at 1.5525, the high of January 6.
Risk sentiment waned amid concerns over rising borrowing costs in the euro zone, as investors looked ahead to government debt auctions by Spain and Italy later in the week.
Markets were also jittery after German magazine Der Spiegel reported on Saturday the International Monetary Fund was losing confidence in Greece's ability to shore up its public finances and work off its mountain of debt.
In addition, an adviser to Germany's finance minister Wolfgang Schaeuble said that a 50% write-down on Greek debt holdings, part of Greece's debt swap deal, may not be enough to put the country's huge debt on a viable footing.
Meanwhile, sterling was lower against the euro with EUR/GBP gaining 0.22%, to hit 0.8264.
Later in the day, French President Nicolas Sarkozy and German Chancellor Angela Merkel were to discuss proposals to increase fiscal coordination in the single currency bloc.
GBP/USD hit 1.5448 during European morning trade, the daily high; the pair subsequently consolidated at 1.5447, adding 0.13%.
Cable was likely to find support at 1.5361, the low of December 29 and resistance at 1.5525, the high of January 6.
Risk sentiment waned amid concerns over rising borrowing costs in the euro zone, as investors looked ahead to government debt auctions by Spain and Italy later in the week.
Markets were also jittery after German magazine Der Spiegel reported on Saturday the International Monetary Fund was losing confidence in Greece's ability to shore up its public finances and work off its mountain of debt.
In addition, an adviser to Germany's finance minister Wolfgang Schaeuble said that a 50% write-down on Greek debt holdings, part of Greece's debt swap deal, may not be enough to put the country's huge debt on a viable footing.
Meanwhile, sterling was lower against the euro with EUR/GBP gaining 0.22%, to hit 0.8264.
Later in the day, French President Nicolas Sarkozy and German Chancellor Angela Merkel were to discuss proposals to increase fiscal coordination in the single currency bloc.