Forex - GBP/USD hits fresh 4-week high after mixed U.S. data

Published 09/15/2010, 11:38 AM
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Investing.com – The pound erased early losses against the U.S. dollar on Wednesday, rising to hit a fresh 4-week high, following a flurry of mixed U.S. economic data.
 
GBP/USD hit 1.5638 during European afternoon trade, the pair’s highest since August 19; the pair subsequently consolidated at 1.5615, gaining 0.48%.

Cable was likely to find support at 1.5347, Tuesday’s low, and resistance at 1.5701, the high of August 16.

Earlier in the day, the U.S. Federal Reserve said that industrial production declined by a seasonally adjusted 0.2% in August, after falling by a revised 0.6% in July.

Analysts had expected industrial production to decline by 0.3% in August.

The report also said that the capacity utilization rate fell unexpectedly in August.

Meanwhile, separate data showed that an index of manufacturing conditions in New York State fell more-than-expected in September, while import prices increased more-than-expected in August, rising for a second consecutive month.

The pound was also up against the euro, with EUR/GBP shedding 0.42% to hit 0.8328.

Earlier Wednesday, official data showed that U.K. jobless claims increased more-than-expected in August, rising for the first time in 7 months.

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