Sterling dips below 1.4 against dollar

Sterling resumed its decline away from three-week highs against the dollar, following earlier data from Britain and the US, while Federal Reserve Governor Randal Quarles delivered a speech titled "An Assessment of the US Economy" at the National Association of Business Economics Policy Conference, in Washington.

As of 04:45 GMT, GBP/USD fell 0.09% to 1.3959 from the opening of 1.3974, with an intraday low at 1.3928, and the highest since February 16 at 1.4070. 

Earlier UK data showed mortgage approvals at 40.1 thousand in January, up from 36.1 thousand in December and beating expectations of 37.2 thousand, while Bank of England Deputy Governor Dave Ramsden pointed in earlier remarks to some apparent momentum in wages. 

Ramsden said the BoE is monitoring wages closely in the first quarter to see whether they'll achieve the target, expressing otherwise is prediction of a rate hike soon. 

Otherwise, UK Prime Minister Theresa May's spokesman said Britain won't join the EU customs union after Brexit, noting that the government will hold an official meeting to discuss the issue one day before May's EU speech on Friday. 

Earlier US data showed new home sales fell 7.8% in January to an annualized 593 thousand units, compared to a 7.6% drop in December to 643 thousand, revised from a 9.3% decline, while analysts expected a 3.5% rise to 647 thousand units. 

Tomorrow, Federal Reserve Chair Jerome Powell is due to testify on the Semiannual Monetary Policy Report before the House Financial Services Committee, in Washington DC.