U.K. employment data
- Average earnings with bonuses (May), a fact of 3.4%, the forecast of 3.1%.
- Claimant count change (June), fact 38.0K, forecast 18.9K.
- Employment change, 3m/3m (m/m), fact 28.0K, forecast 45.0K.
- Unemployment rate (May), fact 3.8%, forecast 3.8%.
An employment report in the UK turned out to be ambiguous. Thus, the number of applications for unemployment benefits rose to a ten-year highs. At the same time, the average level of wages, including premiums, also increased, indicating the resumption of growth of this indicator and giving hope for the growth of consumer inflation. But most importantly, he completely leveled the negative effect of the increase in applications for benefits.
Fig. 1. U.K. average earnings with bonuses
The British pound slowed the decline on the news, which was caused by the weakening of pessimistic expectations of inflation in the UK. The GBP/USD pair strayed from the level of 1.2450. And in the conditions of closure of the hour above the level of 1.2460-70, it retains the potential for recovery to resistance levels: 1.2500 and 1.2530.
Fig. 2. GBP/USD chart. Current price – 1.2470
Read also: “Canadian dollar (CAD) –
a feature of trading on cross-rates»
Hanzenko Anton
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