GBP/USD challenges 1.3300 on US results

GBP/USD has surrendered initial gains and has now returned to the 1.3300 neighbourhood after US data releases come in on the stronger side.

GBP/USD weaker on releases

Spot has come under renewed selling pressure following upbeat results from the US calendar, where Retail Sales, Industrial Production and Manufacturing Production have all surpassed expectations.

US Core CPI have matched estimates in June at 0.2% MoM and 2.3% over the last twelve months. On the not-so-bright side, the NY Empire State Manufacturing index dropped to 0.55 for the current month.

The pair is now shedding nearly 2 cents since today’s tops in the 1.3480 region, although it remains well poised to close the first week with gains after three consecutive retracements, including fresh 31-year lows post ‘Brexit’.

GBP/USD levels to consider

As of writing the pair is losing 0.26% at 1.3307 and a breakdown of 1.3101 (low Jul.14) would expose 1.2849 (low Jul.11) and then 1.2797 (20916 low Jul.6). On the flip side, the next up barrier aligns at 1.3481 (session high Jul.15) followed by 1.3535 (high Jun.29) and finally 1.3646 (38.2% Fibo of 1.5020-1.2796).