British pound tumbled against US dollar, ignoring optimistic UK data

British pound slid against the US dollar on Friday, despite the positive signal, submitted from UK, as pressure by FED comments on stimulus remained strong.

GBP/USD pair tumbled to a session low at 1.5472 at 7:28 GMT, after which consolidation followed at 1.5485. The cross was down by 0.17% for the day. Support was expected at June 20th low, 1.5413, while resistance was likely to be met at June 10th high, 1.5587.

Minutes ago, it was reported that Public Finances (PSNCR-Public Sector Net Cash Requirement) indicator in UK recorded a smaller deficit in May at the amount of 3.1 billion GBP, compared to that during the previous period, which amounted at 11.0 billion GBP, according to revised data. Preliminary estimates showed a deficit of 2.5 billion GBP.

In addition, Public Sector Net Borrowing (PSNB) in the United Kingdom rose less than projected in May, to 10.5 billion GBP instead of 13.5 billion GBP. Borrowing during the preceding month was revised down to 6.6 billion GBP from 8.0 billion GBP previously. These results were influenced by the 3.2 billion GBP payment made by Swiss banks in accordance with the new tax agreement between UK and Switzerland, and also by Bank of Englands bond purchase profit transfer at the amount of 3.6 billion GBP.

Demand for the greenback was bolstered after on Wednesday FED Chairman Ben Bernanke announced, that central bank’s asset-purchasing program could be decelerated by the end of this year and a possible exit could be expected in the mid-2014, if certain economic indicators developed as projected.

Pound slipped against the euro as well, with EUR/GBP pair up by 0.17% to 0.8538.