Investing.com - The pound remained higher against the U.S. dollar on Monday, as concerns over political uncertainty in Italy and ongoing budget talks in the U.S. persisted.
GBP/USD hit 1.6097 during U.S. morning trade, the pair's highest since December 5; the pair subsequently consolidated at 1.6082, rising 0.24%.
Cable was likely to find support at 1.6014, the session low and resistance at 1.6128, the high of December 6.
The pound continued to benefit from inflows as the euro remained under pressure amid fears that a change in political leadership in Italy will hamper the country’s efforts to emerge from the debt crisis in the euro zone.
On Saturday, Italian Prime Minister Mario Monti announced that he will resign as soon as he has passed the 2013 budget, after members of former Prime Minister Silvio Berlusconi’s party withdrew their support for the government.
Meanwhile, the dollar remained supported after Friday’s stronger-than-forecast U.S. jobs data, but expectations that the Federal Reserve will continue to pursue monetary easing at this week’s policy setting meeting remained intact.
Elsewhere, the pound was higher against the euro with EUR/GBP shedding 0.24% to hit 0.8039.
Also Monday, official data showed that Italian industrial production fell 1.1% in October, compared to expectations for a 0.2% decline.
GBP/USD hit 1.6097 during U.S. morning trade, the pair's highest since December 5; the pair subsequently consolidated at 1.6082, rising 0.24%.
Cable was likely to find support at 1.6014, the session low and resistance at 1.6128, the high of December 6.
The pound continued to benefit from inflows as the euro remained under pressure amid fears that a change in political leadership in Italy will hamper the country’s efforts to emerge from the debt crisis in the euro zone.
On Saturday, Italian Prime Minister Mario Monti announced that he will resign as soon as he has passed the 2013 budget, after members of former Prime Minister Silvio Berlusconi’s party withdrew their support for the government.
Meanwhile, the dollar remained supported after Friday’s stronger-than-forecast U.S. jobs data, but expectations that the Federal Reserve will continue to pursue monetary easing at this week’s policy setting meeting remained intact.
Elsewhere, the pound was higher against the euro with EUR/GBP shedding 0.24% to hit 0.8039.
Also Monday, official data showed that Italian industrial production fell 1.1% in October, compared to expectations for a 0.2% decline.