Investing.com - The pound trimmed losses against the U.S. dollar on Tuesday, following the release of upbeat U.S. retail sales data, although U.S. debt concerns continued to dampen market sentiment.
GBP/USD pulled away from 1.6034, the session low, to hit 1.6057 during U.S. morning trade, still down 0.13%.
Cable was likely to find support at 1.6004, the low of January 10 and resistance at 1.6122, the high of January 8.
The Commerce Department said U.S. retail sales rose 0.5% in December, beating expectations for a 0.2% gain.
A separate report showed that producer prices in the U.S. fell 0.2% last month, compared to expectations for a 0.1% decline.
Another report showed that the Empire State manufacturing index declined to minus 7.8 in January from a reading of minus 7.3 in December. Analysts had expected the index to improve to 2.0.
Meanwhile, uncertainty over the U.S. debt ceiling deadlock weighed after President Barack Obama urged Republicans to approve an increase in the borrowing limit without seeking policy concessions in return.
Sterling was higher against the euro with EUR/GBP falling 0.23%, to hit 0.8304.
Also Tuesday, official data showed that consumer inflation remained unchanged at 2.7% in December, broadly in line with expectations, as increases in electricity and gas bills were offset by falling fuel costs.
Month-over-month, consumer price inflation rose 0.5%, in line with expectations, after rising 0.2% in November.
GBP/USD pulled away from 1.6034, the session low, to hit 1.6057 during U.S. morning trade, still down 0.13%.
Cable was likely to find support at 1.6004, the low of January 10 and resistance at 1.6122, the high of January 8.
The Commerce Department said U.S. retail sales rose 0.5% in December, beating expectations for a 0.2% gain.
A separate report showed that producer prices in the U.S. fell 0.2% last month, compared to expectations for a 0.1% decline.
Another report showed that the Empire State manufacturing index declined to minus 7.8 in January from a reading of minus 7.3 in December. Analysts had expected the index to improve to 2.0.
Meanwhile, uncertainty over the U.S. debt ceiling deadlock weighed after President Barack Obama urged Republicans to approve an increase in the borrowing limit without seeking policy concessions in return.
Sterling was higher against the euro with EUR/GBP falling 0.23%, to hit 0.8304.
Also Tuesday, official data showed that consumer inflation remained unchanged at 2.7% in December, broadly in line with expectations, as increases in electricity and gas bills were offset by falling fuel costs.
Month-over-month, consumer price inflation rose 0.5%, in line with expectations, after rising 0.2% in November.