GBP/USD failed to settle below the support at 1.3800 and rebounded towards the resistance at 1.3835.
The dollar edged lower in early European trading Tuesday, but remained near multi-month highs on the back of rising Treasury yields and the expectation of a robust U.S. economic recovery. At 3:55 AM ET (0755 GMT), the Dollar Index, which tracks the greenback against a basket of six other currencies, was down 0.2% at 92.130, after earlier climbing to 92.528, its highest level since late November. EUR/USD rose 0.3% to 1.1883, after earlier falling to lows last seen in late November 2020, ahead of the release of the latest revision of the euro zone’s fourth-quarter GDP data later Tuesday and the European Central Bank handing down its policy decision on Thursday.
It’s a quiet day ahead on the economic calendar. With no major stats from the U.S to consider, the EUR and German economy will be back in the spotlight.