U.K. Employment Data

• Average earnings plus bonuses (June), fact  3.7%,  forecast 3.7%.
• Claimant count change  (July), fact 28.0K, forecast 32.0K.
• Employment change, 3m/3m (m/m) (June), fact 115K, forecast 65K.
• Unemployment rate (June), fact 3.9%, forecast 3.8%.

The UK employment report for July was mixed. Thus, the number of applications for unemployment benefits decreased, despite the expectation of growth, while maintaining upward momentum. This indicates a weak labor market. A more negative fact of the report was the increase in unemployment, which deviated from multi-year lows.

Fig. 1. U.K. unemployment rate chart

Despite the weak employment data in the UK, the British pound remains to trade restrained against its main competitors, showing moderate growth against the American dollar on maintaining the negative dynamics of stock indices. The upward trend in the pound is limited by the risks of a tough Brexit. GBP/USD is limited by resistance levels: 1.2080 and 1.2100.

Fig. 2. GBP/USD chart. Current price – 1.2060

Read also: “Emerging Markets and Their Prospects: Russian Ruble (RUB)”

Hanzenko Anton

Earn with the help of the trade service on the news Erste News!

Topical articles of the trader’s blog:

1. Gold in the light of current events. How long is its growth
2. A new round of trade war: duties, restrictions, prospects
3. The results of the July Fed meeting for the market

Current Investment ideas:

1. Selling Alcoa shares makes a profit! Three reasons to connect now!
2. The trade war for Boeing: good or bad and how can we make money from it!