Investing.com - The pound remained lower against the dollar on Wednesday after the Bank of England’s October meeting minutes said unemployment was falling slightly faster than forecast, as traders locked in profits following Tuesday’s steep gains.
GBP/USD hit 1.6137 during European morning trade, the session low; the pair subsequently consolidated at 1.6151, shedding 0.52%.
Cable was likely to find support at 1.6020 and resistance at 1.6255, the session high and an almost nine-month high.
The minutes of the BoE’s October meeting said the U.K. unemployment rate appears to be falling at a faster than expected rate as the "robust" recovery gains traction.
The unemployment rate declined to 7.7% from 7.8% since the bank released its August inflation report, when it said it would take three years to fall to the threshold of 7% at which it would start to look at raising interest rates.
The bank estimated that growth in the second half of the year would remain around 0.7% a quarter or a little higher, stronger than expected at the time of the August inflation report.
Policymakers voted unanimously to keep interest rates unchanged at 0.5% and to keep stimulus on hold the minutes said.
The dollar remained under pressure after on Tuesday showing weaker than expected U.S. jobs growth in September reinforced expectations that the Federal Reserve will delay plans to reduce its stimulus program.
The Department of Labor said the U.S. economy added 148,000 jobs in September, well below expectations for an increase of 180,000, indicating that jobs growth had slowed even before the start of the recent 16-day government shutdown.
Elsewhere, sterling was lower against the euro, with EUR/GBP rising 0.36% to 0.8518.
GBP/USD hit 1.6137 during European morning trade, the session low; the pair subsequently consolidated at 1.6151, shedding 0.52%.
Cable was likely to find support at 1.6020 and resistance at 1.6255, the session high and an almost nine-month high.
The minutes of the BoE’s October meeting said the U.K. unemployment rate appears to be falling at a faster than expected rate as the "robust" recovery gains traction.
The unemployment rate declined to 7.7% from 7.8% since the bank released its August inflation report, when it said it would take three years to fall to the threshold of 7% at which it would start to look at raising interest rates.
The bank estimated that growth in the second half of the year would remain around 0.7% a quarter or a little higher, stronger than expected at the time of the August inflation report.
Policymakers voted unanimously to keep interest rates unchanged at 0.5% and to keep stimulus on hold the minutes said.
The dollar remained under pressure after on Tuesday showing weaker than expected U.S. jobs growth in September reinforced expectations that the Federal Reserve will delay plans to reduce its stimulus program.
The Department of Labor said the U.S. economy added 148,000 jobs in September, well below expectations for an increase of 180,000, indicating that jobs growth had slowed even before the start of the recent 16-day government shutdown.
Elsewhere, sterling was lower against the euro, with EUR/GBP rising 0.36% to 0.8518.