Investing.com - The pound slipped lower against the U.S. dollar on Thursday, ahead of the Bank of England’s policy setting meeting later in the day, while concerns over the situation in the euro zone also weighed.
GBP/USD hit 1.5430 during European morning trade, the session low; the pair subsequently consolidated at 1.5452, shedding 0.28%.
Cable was likely to find support at 1.5371, Wednesday’s low and resistance at 1.5514, Wednesday’s high.
The Bank of England was expected to keep rates on hold, but there was some speculation that policymakers could increase quantitative easing, amid concerns over the impact on the U.K. economy from the deepening crisis in the euro zone.
The European Central Bank kept rates on hold on Wednesday and held back from announcing any fresh monetary easing, disappointing hopes that the bank would implement fresh measures to help stabilize markets.
Investors were also wary ahead of an auction of Spanish government debt later in the day, just days after the country warned that it is having difficulty accessing credit markets.
Market participants were also looking ahead to testimony by Federal Reserve Chairman Ben Bernanke on the outlook for the U.S. economy, amid speculation that the U.S. central bank is mulling new measures to stimulate growth.
The pound was fractionally lower against the euro, with EUR/GBP inching up 0.06% to hit 0.8123.
Later Thursday, the U.S. was to release government data on initial jobless claims.
GBP/USD hit 1.5430 during European morning trade, the session low; the pair subsequently consolidated at 1.5452, shedding 0.28%.
Cable was likely to find support at 1.5371, Wednesday’s low and resistance at 1.5514, Wednesday’s high.
The Bank of England was expected to keep rates on hold, but there was some speculation that policymakers could increase quantitative easing, amid concerns over the impact on the U.K. economy from the deepening crisis in the euro zone.
The European Central Bank kept rates on hold on Wednesday and held back from announcing any fresh monetary easing, disappointing hopes that the bank would implement fresh measures to help stabilize markets.
Investors were also wary ahead of an auction of Spanish government debt later in the day, just days after the country warned that it is having difficulty accessing credit markets.
Market participants were also looking ahead to testimony by Federal Reserve Chairman Ben Bernanke on the outlook for the U.S. economy, amid speculation that the U.S. central bank is mulling new measures to stimulate growth.
The pound was fractionally lower against the euro, with EUR/GBP inching up 0.06% to hit 0.8123.
Later Thursday, the U.S. was to release government data on initial jobless claims.