EUR/GBP chart - Trading View
According to data released by the Office of National Statistics, UK unemployment rate fell 0.3 percent in the last quarter as businesses continued on a hiring spree.
UK the unemployment rate now stands at 4.6 percent, in line with forecasts, after a record 241,000 employees were added to payrolls last month.
Average Earnings excluding bonuses beat estimates with an increase of 8.3% YoY. Jobless claims fell by 58,600 in August, below expectations.
The unemployment rate has fallen for 7 months in a row and the number of employees on payrolls is back above pre-pandemic levels.
UK employment figures are likely to support the BOE hawks. GBP/USD posts minor gains after UK jobs data.
Traders will however remain wary ahead of the crucial US CPI data for a clearer view before pushing the pair higher in reaction to the British jobs data.
Chancellor of the Exchequer, Rishi Sunak said: “Today’s statistics show that our Plan for Jobs is working. As we continue to recover from the pandemic, our focus remains on creating opportunities and supporting people’s jobs.”
Market Reaction:
GBP/USD trades 0.09% higher on the day at 1.3850 at 06:45 GMT
EUR/GBP largely unchanged at 0.8529 at the time of writing.
