GBP/USD drops to 1.5570 on UK inflation

FXStreet (Edinburgh) - The pound is now losing further ground vs. the greenback, sending GBP/USD to the area of session lows near 1.5570.

GBP/USD weaker post data

The pair saw its downside renewed after UK headline consumer prices rose 0.1% on a year to May and 0.2% on a monthly basis, both prints matching forecasts. Core prices rose below expectations 0.9% vs. 1.0% anticipated.

Further data showed Retail Prices up 0.2% inter-month and Core PPI coming in flat, as expected.

GBP/USD levels to watch

As of writing the pair is retreating 0.17% at 1.5574 and a breakdown of 1.5500 (psychological level) would expose 1.5488 (low Jun.15) and then 1.5468 (low Jun.12). On the upside, the initial resistance lines up at 1.5663 (76.4% of 1.5815-1.5170) followed by 1.5700 (high May 21) and then 1.5745 (high May 18).

United Kingdom DCLG House Price Index (YoY) below forecasts (10.2%) in May: Actual (5.5%)

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