Weak Housing Numbers Weight on British Pound

The British pound sold off for the second day in a row on the back of weak housing market data. Nationwide house prices increased only 0.1 percent in the month of July, dragging the annualized pace of price growth down to 9.9 percent from 11.1 percent.

The Chief Economist at Nationwide blames the increase in house prices, but even so, traders should not lose sight of the fact that the UK economy is out performing the US economy. What is really weighing on the pound is GBP/JPY liquidation. When that comes to an end, so could GBP selling.