Investing.com - The pound strengthened against the dollar on Friday after data revealed that the U.S. economy created fewer nonfarm payrolls in October than markets were anticipating.
In U.S. trading on Friday, GBP/USD was up 0.08% at 1.5844, up from a session low of 1.5791 and off a high of 1.5860.
Cable was likely to find support at 1.5774, the low from Sept. 13, 2013, and resistance at 1.6023, Wednesday's high.
The Department of Labor reported earlier that the U.S. economy added 214,000 jobs in October, missing expectations for an increase of 231,000. The number of jobs added in September was revised to 256,000 from a previously estimated 248,000.
The report also revealed that the U.S. unemployment rate ticked down to 5.8% in October from 5.9% in September. Analysts had expected the unemployment rate to remain unchanged last month.
While not overwhelmingly disappointing, the less-than-stellar report gave investors room to sell the greenback for profits and take time to rethink when the Federal Reserve will hike interest rates next year.
The dollar has firmed in recent weeks as investors prepare for U.S. monetary policy to grow less accommodative while Europe and Japan move in the opposite direction.
The Fed recently closed its monthly bond-buying program and is expected to raise interest rates some time in 2015, though the timing as to when next year benchmark borrowing costs may rise remains up in the air thanks to hit-or-miss U.S. data.
Meanwhile in the U.K., the Office for National Statistics reported earlier that its trade deficit widened to £9.82 billion in September from £8.95 billion in August, whose figure was revised from a previously estimated deficit of £9.10 billion.
Analysts had expected the trade deficit to widen to £9.40 billion in September.
Elsewhere, sterling was down against the euro, with EUR/GBP up 0.38% at 0.7845, and down against the yen, with GBP/JPY down 0.01% at 142.56.