Forex – GBP/USD little changed after U.K. data miss

© Reuters. Pound steady vs. dollar after weak U.K. data, June election supports

Investing.com – The pound was little changed against the U.S. dollar on Friday, after the release of downbeat U.K. retail sales data, as news this week of a snap election in June continued to support demand for sterling and as sentiment on the greenback remained vulnerable.

hit 1.2773 during European morning trade, the session low; the pair subsequently consolidated at 1.2806.

Cable was likely to find support at 1.2766, the low of April 19 and resistance at 1.2909, the high of April 18 and a six-month peak.

The U.K. Office for National Statistics said slumped 1.8% in March after an increase of 1.7% in April, whose figure was revised from a previously estimated gain of 1.4%. Analysts had expected retail sales to drop by only 0.2% last month.

Year-on-year, increased 1.7% last month, compared to forecasts for growth of 3.4%.

, which exclude automobile sales and fuel, decreased by 1.5% in March, confounding expectations for a 0.4% fall.

But the pound remained broadly supported after .

The next day, May’s call for an early election, setting the stage what will define the terms of the U.K.’s withdrawal from the European Union.

Meanwhile, the greenback regained some footing after that the administration will unveil a tax reform plan very soon, easing doubts over whether President Donald Trump will be able to pass tax reforms in the near term.

But sentiment on the dollar remained vulnerable amid mounting tensions with North Korea, whose state media warned the U.S. earlier in the week of a “super-mighty preemptive strike” and said don’t “mess with us.”

Thursday’s disappointing data on and also weighed.

Sterling was also moderately lower against the euro, with adding 0.10% to 0.8375.

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.

Comments

comments