Investing.com – The pound pushed higher against the U.S. dollar on Thursday, as market sentiment was bolstered by stronger-than-expected investor demand at an auction of Spanish government debt.
GBP/USD hit 1.5528 during European afternoon trade, the daily high; the pair subsequently consolidated at 1.5522, adding 0.36%.
Cable was likely to find support at 1.5433, the session low and resistance at 1.5628, Tuesday’s high.
Spain’s Treasury sold EUR6 billion of medium-and-long-term bonds, far surpassing a target of EUR3.5 billion.
The country sold EUR2.5 billion of five-year bonds at an average yield of 4.02%, down sharply from 5.27% at a similar auction last month. Spain also auction EUR1.4 billion in ten-year bonds at a yield of 5.54%, compared to 6.97% at a November bond sale.
Spain's performance contrasted sharply with Italy on Wednesday which saw yields on five year bonds surge to euro-era highs.
In the U.K. official data showed that retail sales fell 0.4% in November, but rose 0.7% over the past three months compared to the previous three, the strongest gain since August 2010.
The pound was also higher against the euro, with EUR/GBP slipping 0.08% to hit 0.8386.
Later Thursday, the U.S. was to produce its weekly report on initial jobless claims, as well as government data on producer price inflation and manufacturing activity in Philadelphia and New York state.
GBP/USD hit 1.5528 during European afternoon trade, the daily high; the pair subsequently consolidated at 1.5522, adding 0.36%.
Cable was likely to find support at 1.5433, the session low and resistance at 1.5628, Tuesday’s high.
Spain’s Treasury sold EUR6 billion of medium-and-long-term bonds, far surpassing a target of EUR3.5 billion.
The country sold EUR2.5 billion of five-year bonds at an average yield of 4.02%, down sharply from 5.27% at a similar auction last month. Spain also auction EUR1.4 billion in ten-year bonds at a yield of 5.54%, compared to 6.97% at a November bond sale.
Spain's performance contrasted sharply with Italy on Wednesday which saw yields on five year bonds surge to euro-era highs.
In the U.K. official data showed that retail sales fell 0.4% in November, but rose 0.7% over the past three months compared to the previous three, the strongest gain since August 2010.
The pound was also higher against the euro, with EUR/GBP slipping 0.08% to hit 0.8386.
Later Thursday, the U.S. was to produce its weekly report on initial jobless claims, as well as government data on producer price inflation and manufacturing activity in Philadelphia and New York state.