Investing.com - The pound pared losses against the U.S. dollar on Monday, but sterling remained vulnerable as delays in negotiations between Greece and its creditors on a second bailout deal prompted investors to flock to safer assets.
GBP/USD pulled back from 1.5731, the pair’s lowest since February 1, to hit 1.5793 during U.S. morning trade, still down 0.13%.
Cable was likely to find support at 1.5731, the day’s low and resistance at 1.5847, the high of October 17.
Greece failed to meet another deadline Monday to strike a deal to secure a much needed EUR130 billion bailout, pushing the country closer to a default.
A European Commission spokesman said earlier that Greece needed urgently to take decisions, while French and German leaders warned the country that time was running out and that Athens would only get bailout money from Europe if it lived up to its promise to deliver economic reforms in return.
Merkel also insisted that Greece must decide whether it remains in the euro zone.
Market sentiment slightly improved earlier after official data showed that German factory orders rose more-than-expected in December, on the back of increased demand from outside the euro zone, easing concerns over a slowdown in the region’s largest economy.
Sentiment was also supported by Friday’s robust U.S. employment data, which showed that the economy added 243,000 new jobs last month, the fastest increase in nine months, bringing down the unemployment rate to a three-year low of 8.3%.
Meanwhile, sterling was higher against the euro with EUR/GBP sliding 0.54%, to hit 0.8277.
Earlier Monday, a report by mortgage lender Halifax showed that U.K. house prices rose by 0.6% in January, after dropping by a revised 1% the previous month.
The report said that continuing low levels of interest rates have helped support housing demand.
GBP/USD pulled back from 1.5731, the pair’s lowest since February 1, to hit 1.5793 during U.S. morning trade, still down 0.13%.
Cable was likely to find support at 1.5731, the day’s low and resistance at 1.5847, the high of October 17.
Greece failed to meet another deadline Monday to strike a deal to secure a much needed EUR130 billion bailout, pushing the country closer to a default.
A European Commission spokesman said earlier that Greece needed urgently to take decisions, while French and German leaders warned the country that time was running out and that Athens would only get bailout money from Europe if it lived up to its promise to deliver economic reforms in return.
Merkel also insisted that Greece must decide whether it remains in the euro zone.
Market sentiment slightly improved earlier after official data showed that German factory orders rose more-than-expected in December, on the back of increased demand from outside the euro zone, easing concerns over a slowdown in the region’s largest economy.
Sentiment was also supported by Friday’s robust U.S. employment data, which showed that the economy added 243,000 new jobs last month, the fastest increase in nine months, bringing down the unemployment rate to a three-year low of 8.3%.
Meanwhile, sterling was higher against the euro with EUR/GBP sliding 0.54%, to hit 0.8277.
Earlier Monday, a report by mortgage lender Halifax showed that U.K. house prices rose by 0.6% in January, after dropping by a revised 1% the previous month.
The report said that continuing low levels of interest rates have helped support housing demand.