Investing.com – The pound extended losses against the U.S. dollar on Tuesday, plunging to a fresh 6-week low, as risk sentiment fell amid renewed concerns over the global economic recovery.
GBP/USD hit 1.5297 during European afternoon trade, the pair’s lowest since July 23; the pair subsequently consolidated at 1.5307, shedding 0.56%.
Cable was likely to find support at 1.5251, the low of July 23, and resistance at 1.5488, Monday’s high.
Earlier in the day, British housing giant Connaught, which employs 10,000 people, issued a statement saying it had asked for trading in its shares on the London Stock Exchange to be suspended while it tried to clarify its financial position.
The British housing giant has GBP 220 million of debt and is said to be on the verge of being put into administration by its bank creditors after lenders refused to offer further support.
Elsewhere, concerns over the health of euro zone banks were renewed after a Wall Street Journal report highlighted the weakness of July’s euro zone stress tests of major banks. The report said the tests "minimised" their debt risks and "understated some lenders' holdings of potentially risky government debt".
Meanwhile, the pound was up against the euro, with EUR/GBP shedding 0.40% to hit 0.8330.
Later in the day, the U.K. was expected to release industry data on an index that measures the change in the price of goods purchased at retail stores in the U.K.
GBP/USD hit 1.5297 during European afternoon trade, the pair’s lowest since July 23; the pair subsequently consolidated at 1.5307, shedding 0.56%.
Cable was likely to find support at 1.5251, the low of July 23, and resistance at 1.5488, Monday’s high.
Earlier in the day, British housing giant Connaught, which employs 10,000 people, issued a statement saying it had asked for trading in its shares on the London Stock Exchange to be suspended while it tried to clarify its financial position.
The British housing giant has GBP 220 million of debt and is said to be on the verge of being put into administration by its bank creditors after lenders refused to offer further support.
Elsewhere, concerns over the health of euro zone banks were renewed after a Wall Street Journal report highlighted the weakness of July’s euro zone stress tests of major banks. The report said the tests "minimised" their debt risks and "understated some lenders' holdings of potentially risky government debt".
Meanwhile, the pound was up against the euro, with EUR/GBP shedding 0.40% to hit 0.8330.
Later in the day, the U.K. was expected to release industry data on an index that measures the change in the price of goods purchased at retail stores in the U.K.