U.K. Employment Data
- Average earnings including premiums (July), fact 4.0%, forecast 3.7%.
- Claimant count change (Aug), fact 28.2K, forecast 29.3K.
- Employment change, 3m/3m (m/m) (July), fact 31K, forecast 53K.
- The unemployment rate (July), fact 3.8%, forecast 3.9%.
The UK employment report was very positive. Particularly noteworthy is the increase in wages, which supports consumer inflation, and a decrease in the number of applications for unemployment benefits. The unemployment rate fell to historical lows. This indicates a significant strength in the UK labor market.
Fig. 1. Average earninigs with bonuses in the UK
The British pound did not receive swift support despite positive employment data. This is due to political risks and the overbought pound. And data on Brexit remains the main driver of the movement of the British currency. GBP/USD continues to be limited by overbought and recent highs, limited by resistance levels: 1.2380 and 1.2400, support: 1.2300 and 1.2280.
Fig. 2. GBP/USD chart. Current price – 1.2330
Read also: “What does British pound wait for with a new prime minister”
Hanzenko Anton
Earn with the help of the trade service on the news Erste News!
Topical articles of the trader’s blog:
- Boris Johnson leads the UK to a tough Brexit
- Currency is a weapon in a trade war!
- How far the prospects for USD/JPY may be downward
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