We have updated our privacy policy and terms & conditions. Find out more here.

Forex - GBP/USD holds gains, U.S. budget talks in focus

ForexDec 28, 2012 03:22PM GMT Add a Comment

Share with a Friend


Thanks for sharing

Emails have been sent to:
To send more emails click here
Investing.com - The pound held gains against the U.S. dollar on Friday, after the release of positive U.S. data, although gains remained limited by sustained concerns over the outcome of U.S. budget talks.

GBP/USD hit 1.6147 during U.S. morning trade, the session high; the pair subsequently consolidated at 1.6134, adding 0.22%.

Cable was likely to find support at 1.6067, Thursday's low and resistance at 1.6202, Thursday's high.

Sentiment strengthened after industry data showed that pending home sales in the U.S. rose more-than-expected in November, rising by 1.7% after a 5% increase the previous month. Analysts had expected pending home sales to tick up 1% in November.

A separate report showed that Chicago's purchasing magaers' index rose to 51.6 in December, from a reading of 50.4 the previous month, beating expectations for a rise to 51.0.

Meanwhile, investors remained cautious as U.S. President Barack Obama was to meet congressional leaders later Friday at the White House for last-minute talks on a "fiscal cliff" deal to avoid automatic tax increases and broad spending cuts that threaten the US economy's recovery.

The meeting comes just four days before the government goes over the so-called fiscal cliff, assuming no deal is reached. Without a deal, the U.S. could fall back into recession and drag much of the world down with it.

Sterling was also higher against the euro with EUR/GBP dropping 0.34%, to hit 0.8194.

Also Friday, Markit research group said that the euro zone's retail purchasing managers' index deteriorated to 44.5 in December from a reading of 45.8 the previous month.

Later in the day, the U.S. was to publish official data on crude oil stockpiles and natural gas inventories.

Forex - GBP/USD holds gains, U.S. budget talks in focus

Related Articles

Forex - NZD/USD almost unchanged near 3-year lows
Forex - NZD/USD almost unchanged near 3-year lows
By Investing.com - Jan 27, 2015

Investing.com - The New Zealand dollar was almost unchanged against its U.S. counterpart on Tuesday, hovering close to three-year lows as investors remained cautious after the ...

Forex - Euro steady as focus turns to Fed meeting
Forex - Euro steady as focus turns to Fed meeting
By Investing.com - Jan 27, 2015

Investing.com - The euro was steady against the dollar on Tuesday, after recovering from an 11-year nadir in the previous session as investors began turning their attention to ...

Add a Comment


Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Are you sure you want to delete this chart?
Are you sure you want to delete this chart?

Successfully Reported

Thank you. This comment has been flagged for a moderator.
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data .

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.