🐂 Not all bull runs are created equal. November’s AI picks include 5 stocks up +20% eachUnlock Stocks

Forex - GBP/USD rises to 1-month highs despite tepid U.K. data

Published 04/17/2015, 04:43 AM
Pound climbs against greenback even as U.K. data disappoints
GBP/USD
-
EUR/GBP
-

Investing.com - The pound rose to one-month highs against the U.S. dollar on Friday, despite the release of mostly disappointing U.K. economic reports, as sentiment on the greenback remained vulnerable after Thursday's U.S. data.

GBP/USD hit 1.5003 during European morning trade, the pair's highest since March 19; the pair subsequently consolidated at 1.4998, gaining 0.42%.

Cable was likely to find support at 1.4809, Thursday's low and resistance at 1.5148, the high of March 18.

In a report, the Office for National Statistics said that the U.K. claimant count dropped 20,700 last month, compared to expectations for a 29,500 decline. February's figure was changed to a 29,100 fall from a previously estimated 31,000 drop.

A separate report showed that the U.K. unemployment rate ticked down to 5.6% in February from 5.7% the previous month, in line with expectations.

In addition, data showed that average U.K. earnings rose 1.7% in February, below expectations for an increase of 1.8%, after an upwardly revised 1.9% gain in January.

Meanwhile, the dollar remained under pressure after the U.S. Department of Labor reported on Thursday that the number of individuals filing for initial jobless benefits increased by 12,000 to 294,000 last week from the previous week’s total of 282,000.

Analysts had expected initial jobless claims to fall by 2,000 to 280,000 last week.

Separately, the U.S. Commerce Department said that the number of building permits issued in March declined by 5.7% last month to 1.039 million units.

The weak data fuelled further speculation that the Federal Reserve could delay hiking interest rates until late 2015, instead of tightening midyear.

Sterling was steady against the euro, with EUR/GBP at 0.7203.

Later in the day, the U.S. was to release data on consumer prices and consumer sentiment.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.