Forex - GBP/USD steady in holiday-thinned trade

The pound was steady against the dollar in subdued trade on Monday as markets in the U.K. remained closed for a holiday and investors awaited U.S. data on durable goods orders later in the session.

GBP/USD hit 1.5588 during European afternoon trade, the session high; the pair subsequently consolidated at 1.5560, inching down 0.04%.

Cable was likely to find support at 1.5537, Friday’s low and resistance at 1.5636, Friday’s high.

Investors were awaiting data on U.S. durable goods orders later Monday for indications on the strength of consumer demand, as uncertainty over how soon the Federal Reserve will start to scale back stimulus measures lingered.

Data on Friday showing that U.S. new home sales fell more than expected last month saw markets re-evaluate expectations on the timing of a possible reduction in asset purchases by the Fed.

The Commerce Department said new home sales fell by a larger-than-forecast 13.4% in July, the largest decline in more than three years. 

Elsewhere, sterling edged higher against the euro, with EUR/GBPslipping 0.10% to 0.8584.

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Forex - EUR/USD little changed before U.S. durables data

The euro was almost unchanged against the dollar in quiet, holiday thinned trade on Monday, as investors awaited U.S. on durable goods orders later in the session.

EUR/USD hit 1.3364 during European afternoon trade, the session low; the pair subsequently consolidated at 1.3371, dipping 0.05%.

The pair was likely to find support at 1.3322, Friday’s low and resistance at 1.3426, the high of August 21.

Trade volumes remained light on Monday, with markets in the U.K. closed for a holiday.

Uncertainty over how soon the Federal Reserve will start to scale back stimulus measures lingered after data on Friday showed that U.S. new home sales fell more than expected last month.

The soft data raised concerns over the strength of the recovery in the housing sector.

Investors were awaiting data on U.S. durable goods orders later in the session for indications on the strength of consumer demand.

Elsewhere, the euro was fractionally lower against the pound, withEUR/GBP inching down 0.06% to 0.8588 and was weaker against the yen, with EUR/JPY sliding 0.16% to 131.86.

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U.S. futures lower ahead of durable goods data; Dow Jones down 0.16%

U.S. stock futures pointed to a lower open on Monday, ahead of the release of U.S. durable goods data as markets were jittery amid ongoing uncertainty over the future of the Federal Reserve stimulus program. 

Ahead of the open, the Dow Jones Industrial Average futures pointed to a 0.16% fall, S&P 500 futures signaled a 0.14% loss, while the Nasdaq 100 futures indicated a 0.03% dip. 

On Friday, the Commerce Department said U.S. new home sales fell by a larger-than-forecast 13.4% in July, the largest decline in more than three years. 

The weak data sparked concerns over the strength of the recovery in the housing sector and fuelled speculation over whether the Fed will start to scale back its USD85 billion-a-month asset purchase program in September. 

Tech stocks were expected to be active, as Microsoft shares dropped 0.60% in pre-market trade, as the company began looking for a new Chief Executive Officer, after announcing that Steve Ballmer said he will retire within 12 months. 

Pharmaceutical companies were also likely to be in the spotlight after Amgen said it will acquire Onyx Pharmaceuticals in a USD10.4 billion transaction, giving Amgen access to a rapidly expanding cancer market. 

Following the news, shares in Amgen surged 4.18% pre-market. 

In the financial sector, Goldman Sachs placed four senior technology specialists on administrative leave after a programming error caused the investment bank to send faulty stock-options orders last week, according to a Financial Times report. 

Separately, Moody's Investors Service warned last week that it might cut the credit ratings of the six biggest U.S. banks, including Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo, saying the government may be unlikely to bail them out should they face trouble in the future. 

Across the Atlantic, European stock markets were lower. The EURO STOXX 50 retreated 0.63%, France’s CAC 40 declined 0.58%, Germany's DAX slipped 0.27%, while Britain's FTSE 100 remained closed for a national holiday. 

During the Asian trading session, Hong Kong's Hang Seng Index climbed 0.65%, while Japan’s Nikkei 225 Index edged down 0.18%. 

Later in the day, the U.S. was to release data on durable goods orders.

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