Investing.com – The pound held modest gains against the U.S. dollar in quiet holiday trade on Monday, after ratings agency Standard & Poor's warned that a debt rollover plan for Greece could amount to a default.
GBP/USD hit 1.6140 during European late afternoon trade, the pair’s highest since June 22; the pair subsequently consolidated at 1.6080, up just 0.04% on the day.
Cable was likely to find support at 1.5969, the low of June 29 and resistance at 1.6198, the high of June 17.
Earlier Monday, S&P said a proposed plan by French lenders to reinvest half of the proceeds from maturing Greek government bonds into new 30-year Greek bonds would “likely amount to a default under our criteria."
In the U.K., a report showing that construction sector activity slowed in June reinforced expectation that the Bank of England is unlikely to raise rates in the near term.
The Markit/CIPS construction purchasing managers’ index dipped in line with expectations, slipping to 53.6 in June from 54.0 the previous month.
The data came after a report on Friday showing that manufacturing activity in the U.K. sank to a 21-month low in June underlined concerns that the country’s economic recovery is faltering.
A separate report from the BoE highlighted weakness in the housing market; showing that homeowners continued to pay back their mortgage debt at a quicker pace than they added to it.
The pound was also modestly higher against the euro, with EUR/GBP slipping 0.06% to hit 0.9029.
Meanwhile, markets in the U.S. were closed for Independence Day.
GBP/USD hit 1.6140 during European late afternoon trade, the pair’s highest since June 22; the pair subsequently consolidated at 1.6080, up just 0.04% on the day.
Cable was likely to find support at 1.5969, the low of June 29 and resistance at 1.6198, the high of June 17.
Earlier Monday, S&P said a proposed plan by French lenders to reinvest half of the proceeds from maturing Greek government bonds into new 30-year Greek bonds would “likely amount to a default under our criteria."
In the U.K., a report showing that construction sector activity slowed in June reinforced expectation that the Bank of England is unlikely to raise rates in the near term.
The Markit/CIPS construction purchasing managers’ index dipped in line with expectations, slipping to 53.6 in June from 54.0 the previous month.
The data came after a report on Friday showing that manufacturing activity in the U.K. sank to a 21-month low in June underlined concerns that the country’s economic recovery is faltering.
A separate report from the BoE highlighted weakness in the housing market; showing that homeowners continued to pay back their mortgage debt at a quicker pace than they added to it.
The pound was also modestly higher against the euro, with EUR/GBP slipping 0.06% to hit 0.9029.
Meanwhile, markets in the U.S. were closed for Independence Day.