The pound produced another terrible performance for the pound yesterday as it posted a new low versus the dollar. GBP/USD ended the U.S. trading session at 1.5498, 19 pips lower from the price level it started that day. Yesterday marked the fourth straight losing day for the currency and it looks like it will continue on going down.
Even though the U.S. markets were closed for Thanksgiving Holiday, the pound still found a reason to fall due to weak economic data. The preliminary business investment report came in weaker than expected as it showed a 1.4% decline, almost triple the expected decrease. Meanwhile, the second release of the third quarter GDP report confirmed the 0.5% growth the preliminary report initially showed.
Today, the economic cupboard the U.K.'s economic cupboard presents nothing of interest so don’t expect the pound to exhibit as much volatility as yesterday. Still do be careful of retracements though… It is a Friday and traders could start taking profit as they close shop for the weekend!