Forexpros — The pound slipped to a four-day low against the U.S. dollar on Thursday, as the outlook for U.K. growth remained downbeat ahead of the release of U.K. data on manufacturing activity.
GBP/USD hit 1.6218 during early European trade, the pair’s lowest since August 26; the pair subsequently consolidated at 1.6226, shedding 0.12%.
Cable was likely to find support at 1.6165, the low of August 12 and resistance at 1.6334, Wednesday’s high.
Earlier in the day, the British Chamber of Commerce cut its outlook for economic growth this year to 1.1% from 1.3% in its June quarterly forecast and lowered its forecast for 2012 to 2.1% from 2.2%.
Meanwhile, U.K. mortgage lender Nationwide said house prices unexpectedly declined in August, falling 0.6%, dropping at their fastest pace since October last year. The report said house prices were 0.4% below their August 2010 level.
Elsewhere, the pound was higher against the euro, with EUR/GBP shedding 0.39% to hit 0.8810.
Later in the day, the U.K. was to publish data on manufacturing sector activity.
Also Thursday, the U.S. was to publish its closely watched weekly report on initial jobless claims, while the Institute of Supply Management was to produce data on manufacturing growth.
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