Sterling settles above 1.3 against dollar for third consecutive session

Sterling titled higher for the fourth session against the dollar following earlier data from Britain and the US, while investors await the Federal Reserve's policy decisions later today. 

As of 04:42 GMT, GBP/USD rose 0.23% to 1.3055 from the opening of 1.3025, with an intraday high at 1.3067, and a low at 1.3000. 

Earlier UK data showed GDP grew 0.3% in the second quarter in line with expectations and up from 0.2% in the first quarter, while the yearly growth rate slowed down to 1.7% as expected from 2.0%, and finally, the services index for the three months ending May matched expectations as well, as mortgage approvals rose below expectations in June. 

UK treasury secretary Philip Hammond stated earlier that they reached a temporary deal with the European Union to give confidence to business, adding that shedding light on Brexit plans will increase consumer confidence as well, as the British economy grew moderately in the second quarter, while British production still needs to improve in a way that underpins wages. 

From the US, earlier data showed new home sales rose below expectations in June, while later today, the Federal Reserve is expected to maintain overnight interest rates at between 1% and 1.25% in its periodic policy meeting in Washington, as investors look for clues regarding the plan to trim down the bank's massive $4.5 trillion balance sheet.