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GBP/USD reacts to higher UK wages even as job numbers disappoint

The UK monthly and quarterly jobs report has just been released and was not very good. Payrolls fell by 85k in April, but the previous figure was revised much higher. The unemployment rate in April rose to 4.1%, from 4%. The level of average earnings remained at 6% in the three months to March and the unemployment rate over that period remained at 4.3%. The outcome of all this data, is that wages remain elevated, at the same time as unemployment is not improving. The Pound has reacted to this data and risen slightly and that is all because, whilst this data was not good, the sickness of the wages component is likely to make a move from the BOE next month a little less certain. The GBP/USD is currently trading at 1.2560 

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