The GBP gave up a bit of ground versus the USD as equities traded a few notches lower yesterday. With today�s market environment, developments in the GBPUSD pair would probably remain to be strongly influenced by trends in risk sentiment.
No economic data was released yesterday but expect to see the British Bankers� Association (BBA) Mortgage Approvals this morning at 8:30 am GMT. Approved mortgages by the BBA in July probably rose to 37,900 from 35,200 the month prior. Mortgage approvals have been steadily rising the past few months, indicating that UK�s housing market is starting to recover. If actual figures come out better-than-expect like the past two months, it could ignite risk appetite again, which in turn, could prompt traders to buy up the GBP.