Forex Pros – The pound erased losses against the U.S. dollar on Thursday, easing off the daily low after official data showed that U.K. retail sales climbed more-than-expected in April.
GBP/USD pulled back from 1.6130, the daily low, to hit 1.6187 during European early afternoon trade, easing up 0.12%.
Cable was likely to find support at 1.5970, the low of April 1 and resistance at 1.6287, Wednesday’s high.
The U.K. Office for National Statistics said sales rose 1.1% last month, outstripping expectations for an increase of 0.8%, and the biggest rise for a month of April since 2002.
Monthly growth was driven by clothing and food sales, which both rose at their fastest pace in years.
The statistics office said the extra public holiday for the Royal Wedding on April 29, combined with the warmest April weather on record helped boost sales in these sectors.
The pound was also higher against the euro, with EUR/GBP slipping 0.09% to hit 0.8805.
Later in the day, the U.S. was to publish its weekly report on initial jobless claims as well as industry data on existing home sales and official data on manufacturing activity in Philadelphia.
ForexPros.com
