The pound fell against its main opponents in the European session on Tuesday after comments by Bank of England member John Haskell hinting at a gradual increase in interest rates.
Speaking to the Treasury's election committee, Haskell said that the sagging in the US economy may be stronger , than it seems now.
According to him, the first risk associated with raising interest rates will be if it is done too quickly, which will disrupt the investment and borrowing plans more than you can
Haskell warned against growing protectionism that could damage the UK economy by increasing prices and worsening economic demand.
UK financial department data showed that the number of approved mortgage loans in the UK increased to a four-month high in May.
The number of approved mortgage loans in May increased to 39,244 from 38,327 in April. This was the highest value since January and above the expected level of 38,250.
The UK currency rose against the main competitors in the Asian session, with the exception of the euro.
The pound fell to an almost two-week low of 0.8822 against the euro after it reached the level of 0.8798 at 5:00 am North American time. The pound is likely to find support at 0.89.
C from the early 4-day high of 1.3292 against the US dollar, the pound reversed direction and fell to a 5-day low of 1.3207. The next probable support for the pound is observed at 1.31.
The pound fell to 144.97 against the yen and 1.3067 against the Swiss franc with an early high of 145.77 and a 4-day high of 1.3123, respectively. If the pound continues to fall, the areas 142.00 and 1.29 are likely to be seen as the next level of support against the yen and the franc, respectively.
The US housing price index of S & P / Case-Shiller for April and consumer confidence index for June will be released at the New York session.