Investing.com – Sterling extended losses against the U.S. dollar on Wednesday, plunging to a fresh daily low after a string of better-than-expected U.S. data fuelled hopes that the U.S. economic recovery was becoming self-sustaining.
GBP/USD hit 1.5463 during European late afternoon trade, a fresh daily low; the pair subsequently consolidated at 1.5474, tumbling 0.7%.
Cable was likely to find short-term support at 1.5418, the low of December 31 and resistance at 1.5645, Tuesday’s high.
Earlier in the day, data showed that U.S. service industries expanded in December at the fastest pace since May 2006.
The Institute of Supply Management said its non-manufacturing purchasing manager's index rose to 57.1 in December, increasing for the eleventh consecutive month. Analysts had expected the PMI to rise to 55.7 in December.
A separate report by payroll processing firm ADP showed that U.S. private sector employment rose by a seasonally adjusted 297K in December, more than the forecast 100K rise.
Meanwhile, the pound was up against the euro, with EUR/GBP shedding 0.46% to hit 0.8497.
Earlier Wednesday, data showed that the U.K. construction sector contracted more-than-expected in December, as unusually severe December weather conditions hit output.
GBP/USD hit 1.5463 during European late afternoon trade, a fresh daily low; the pair subsequently consolidated at 1.5474, tumbling 0.7%.
Cable was likely to find short-term support at 1.5418, the low of December 31 and resistance at 1.5645, Tuesday’s high.
Earlier in the day, data showed that U.S. service industries expanded in December at the fastest pace since May 2006.
The Institute of Supply Management said its non-manufacturing purchasing manager's index rose to 57.1 in December, increasing for the eleventh consecutive month. Analysts had expected the PMI to rise to 55.7 in December.
A separate report by payroll processing firm ADP showed that U.S. private sector employment rose by a seasonally adjusted 297K in December, more than the forecast 100K rise.
Meanwhile, the pound was up against the euro, with EUR/GBP shedding 0.46% to hit 0.8497.
Earlier Wednesday, data showed that the U.K. construction sector contracted more-than-expected in December, as unusually severe December weather conditions hit output.