British Pound Weaker Following Unimpressive Jobs Data


The British pound traded in a relatively quiet tone against the dollar in the London session on Tuesday after bottoming from its recent decline near the critical 1.2000 support.

The single currency maintained a steady decline over the past few days following mixed jobs data. The UK’s unemployment rate came in near a 50-year low, but the number of those employed fell lower than the anticipated number in a Reuters poll. The Office for National Statistics (ONS) revealed that the number of job vacancies fell for the first time since mid-2020.

Apart from bonuses, wages rose by 4.7%, outperforming market expectations of 4.5%. However, the ONS explained that the real value of wages recorded its fastest drop since 2001 when documentation began.

GBP/USD Holds onto Minimal Recovery Profit Beyond 1.1800British Pound Losing Ground Against Counterparts

At press time, the GBP/USD pair trades at 1.2060 after falling to the 1.2007 low in the Asian session today. Meanwhile, the EUR/GBP pair also traded at neutral levels at 0.8430, after the Sterling pared some losses against the Euro.

Meanwhile, the Bank of England (BoE) is monitoring reports from the labor market in hopes to see signs of inflationary pressures easing. However, analysts believe the mixed data is not enough to move the needle ahead of the central bank’s policy decision next month.

Commenting on the possible actions by the BoE in next month’s meeting, Michael Brown, head of market intelligence at Caxton, noted: “The labor market data was a bit of a mixed bag,” adding “I don’t think this is going to impact the Bank of England’s thinking in terms of interest rates.” Brown said he expects another 50 basis points (bps) rate hike in September.

Money markets have priced in an 83% chance of an additional 50 bps internet rate hike from the BoE in its policy meeting next month.


You can purchase Lucky Block here. Buy LBlock

  • Broker
  • Benefits
  • Min Deposit
  • Score
  • Visit Broker
  • 20% welcome bonus of upto $10,000
  • Minimum deposit $100
  • Verify your account before the bonus is credited
$100 Min Deposit
  • Award-winning Cryptocurrency trading platform
  • 14 Cryptoassets available to invest in
  • FCA & Cysec regulated
$200 Min Deposit

Highly volatile unregulated investment products. No EU investor protection.

  • Over 100 different financial products
  • Invest from as little as $10
  • Same-day withdrawal is possible
$100 Min Deposit
  • The Lowest Trading Costs
  • 50% Welcome Bonus
  • Award-winning 24 Hour Support
$200 Min Deposit
  • Award-winning Cryptocurrency trading platform
  • $100 minimum deposit,
  • FCA & Cysec regulated
$100 Min Deposit
  • Trade top Cryptos such as Bitcoin, Litecoin and Ethereum plus more
  • Zero commissions and no bank fees on transactions
  • Around the clock service with support in 14 languages
$100 Min Deposit
  • Fund Moneta Markets account with a minimum of $250
  • Opt in using the form to claim your 50% deposit bonus
$250 Min Deposit
Share with other traders!

Azeez Mustapha

Azeez Mustapha is a trading professional, currency analyst, signals strategist, and funds manager with over ten years of experience within the financial field. As a blogger and finance author, he helps investors understand complex financial concepts, improve their investing skills, and learn how to manage their money.