Investing.com – The pound pared losses against the U.S. dollar on Monday, but remained under pressure after Japan’s intervention in the currency market to stem the yen’s record gains boosted demand for the greenback.
GBP/USD pulled away from 1.5965, the pair’s lowest since Thursday, to hit 1.6048 during U.S. morning trade, still down 0.48%.
Cable was likely to find support at 1.5890, the low of October 26 and resistance at 1.6136, the days high and an almost two-month high.
The dollar rallied against all of its major counterparts earlier after Japanese officials launched an intervention to curb the appreciation of the yen after the greenback fell to a record low of JPY75.56 in early Asian trade.
Japan’s Vice Finance Minister Fumihiko Igarashi said that the intervention was not targeting specific currency levels and added that it was too early to assess the impact of the action, which may not yet have ended.
In the U.K., official data showed that net lending to individuals in the U.K. rose slightly more-than-expected in September, while mortgage approvals declined in line with expectations.
Market sentiment remained clouded by concerns that last week's meeting of euro zone leaders offered few details on how a planned package of measures to contain the debt crisis in the region would be achieved.
Elsewhere, the pound was up against the euro, with EUR/GBP tumbling 0.88% to hit 0.8694.
Also Monday, industry data showed that an index of manufacturing activity in the Chicago area fell more-than-expected in October, falling to 58.4 from 60.4 the previous month.
Analysts had expected the index to decline by 1.4 points to 59.0 in October.
GBP/USD pulled away from 1.5965, the pair’s lowest since Thursday, to hit 1.6048 during U.S. morning trade, still down 0.48%.
Cable was likely to find support at 1.5890, the low of October 26 and resistance at 1.6136, the days high and an almost two-month high.
The dollar rallied against all of its major counterparts earlier after Japanese officials launched an intervention to curb the appreciation of the yen after the greenback fell to a record low of JPY75.56 in early Asian trade.
Japan’s Vice Finance Minister Fumihiko Igarashi said that the intervention was not targeting specific currency levels and added that it was too early to assess the impact of the action, which may not yet have ended.
In the U.K., official data showed that net lending to individuals in the U.K. rose slightly more-than-expected in September, while mortgage approvals declined in line with expectations.
Market sentiment remained clouded by concerns that last week's meeting of euro zone leaders offered few details on how a planned package of measures to contain the debt crisis in the region would be achieved.
Elsewhere, the pound was up against the euro, with EUR/GBP tumbling 0.88% to hit 0.8694.
Also Monday, industry data showed that an index of manufacturing activity in the Chicago area fell more-than-expected in October, falling to 58.4 from 60.4 the previous month.
Analysts had expected the index to decline by 1.4 points to 59.0 in October.