Investing.com - The pound eased lower against the U.S. dollar on Wednesday, amid uncertainty over whether Greece can follow through with fiscal reforms after securing a second bailout, while investors awaited the release of the minutes from the Bank of England’s February meeting.
GBP/USD hit 1.5759 during European morning trade, the pair’s lowest since February 16; the pair subsequently consolidated at 1.5760, sliding 0.11%.
Cable was likely to find support at 1.5654, the low of February 16 and resistance at 1.5813, the session high.
On Tuesday, euro zone finance ministers signed off on a EUR130 billion rescue package for Greece, eliminating the risk of a default in March, but doubts over whether the bailout will be enough to resolve the country’s fiscal woes have persisted.
The pound also came under pressure ahead of the publication of the minutes from the BoE’s most recent policy setting meeting.
Policymakers voted to add another GBP50 billion to the central bank’s asset purchase program earlier this month, amid concerns that economic growth in the U.K. is faltering.
Speaking Tuesday, Deputy BoE Governor Sean Bean said that despite easing inflation and a recent improvement in economic data, growth will remain “sluggish” in the first half of 2012 and said there is “added incentive” to cement the recovery.
The pound was steady against the euro, with EUR/GBP inching up 0.01% to hit 0.8385.
Later in the day, the U.S. was to publish industry data on existing home sales.
GBP/USD hit 1.5759 during European morning trade, the pair’s lowest since February 16; the pair subsequently consolidated at 1.5760, sliding 0.11%.
Cable was likely to find support at 1.5654, the low of February 16 and resistance at 1.5813, the session high.
On Tuesday, euro zone finance ministers signed off on a EUR130 billion rescue package for Greece, eliminating the risk of a default in March, but doubts over whether the bailout will be enough to resolve the country’s fiscal woes have persisted.
The pound also came under pressure ahead of the publication of the minutes from the BoE’s most recent policy setting meeting.
Policymakers voted to add another GBP50 billion to the central bank’s asset purchase program earlier this month, amid concerns that economic growth in the U.K. is faltering.
Speaking Tuesday, Deputy BoE Governor Sean Bean said that despite easing inflation and a recent improvement in economic data, growth will remain “sluggish” in the first half of 2012 and said there is “added incentive” to cement the recovery.
The pound was steady against the euro, with EUR/GBP inching up 0.01% to hit 0.8385.
Later in the day, the U.S. was to publish industry data on existing home sales.