Yahoo Finance GBP/USD Trims Gains After UK Data Disappoints
Investing.com - The pound trimmed gains against the U.S. dollar on Friday, after the release of downbeat UK retail sales dampened optimism over the strength of the economy, although overall weakness in the greenback kept the pair near one-and-a-half year highs.
GBP/USD was still up 0.13% at 1.3915, off session highs of 1.3941 and not far from Wednesday's one-and-a-half year peak of 1.3944.
The pound weakened after data on Friday showed that UK retail sales declined much more than expected in December.
In other news, French President Emmanuel Macron said on Thursday that, if the UK wants access to the single market, it will have to contribute to the European Union budget and follow European jurisdiction.
Macron's comments followed a meeting with U.K. Prime Minister Theresa May on Thursday.
Meanwhile, sentiment on the greenback remained vulnerable as U.S. lawmakers failed to agree on a federal budget deal on Thursday, sparking fears of a government shutdown this weekend.
The dollar has been pressured lower in recen sessions amid concerns the global economic recovery will outpace U.S. growth and prompt other major central banks, including the European Central Bank to begin unwinding loose monetary policy at a faster pace.
Sterling was lower against the euro, with EUR/GBP rising 0.23% to 0.8824.
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