Forex - GBP/USD higher before U.S. data, Fed minutes

Investing.com - The pound traded up to three-week highs against the dollar on Wednesday, ahead of U.S. data on retail sales and inflation, as well as the minutes of the Federal Reserve's October meeting later in the day.GBP/USD rose 0.17% to 1.6146 during European afternoon trade, from Tuesday's close of 1.6117.Cable was likely to find support at 1.6058, Tuesday's low and resistance at 1.6200.The dollar remained under pressure after Fed Chairman Ben Bernanke reiterated the bank's commitment to highly accommodative monetary policy on Tuesday and said the Fed would only taper its USD85 billion-a-month asset purchase program when it was assured of a sustained recovery in the labor market.Interest rates will probably remain near zero for a 'considerable time' after the bank winds up the stimulus program, he added.The minutes were expected to reveal more details on the bank's decision to stick with the stimulus program last month.Investors were also awaiting official data on retail sales, consumer prices and existing home sales.Sterling initially softened against the dollar earlier after the minutes of the Bank of England's November meeting said that there were 'uncertainties' over the durability of the U.K. economic recover past the end of this year.The minutes also said there was a case for not raising interest rates immediately when the 7% unemployment threshold was reached.Recent economic data pointed to a sustained recovery since the bank's August inflation report, the bank said, but warned that low levels of inflation within the euro zone could act as a drag on growth.BoE policymakers voted unanimously to leave interest rates on hold at 0.5% and to keep the size of the bank's asset purchase program unchanged at GBP375 billion.Elsewhere, the pound was higher against the euro, with EUR/GBP down 0.27% to 0.8374.