Breaking: UK April Unemployment Rate beats estimates with 3.9%, GBP/USD unfazed
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- UK May jobless claims changed +528.9K vs +370K expected.
- The UK wages excluding bonuses rose by 1.7% YoY vs. +1.9% expected.
- The unemployment rate in the UK steadied at 3.9% in April.
The Office for National Statistics (ONS) showed on Tuesday, the UK’s official jobless rate remained unchanged from the previous 3.9% in April, while the claimant count change showed a much bigger-than-expected increase last month.
The number of people claiming jobless benefits rose by 528.9K in May, against expectations +370K and +1032.7K (revised down from +856.5K) seen previously. The claimant count rate jumped to 7.8% vs. 5.8% last.
The UK’s average weekly Earnings, excluding bonuses, arrived at +1.7% 3Mo/YoY in April versus +2.7% last and +1.9% expected while the gauge including bonuses came in at +1.0% 3Mo/YoY in April versus +2.4% previous and +1.4% expected.
About UK jobs
The UK Average Earnings released by the Office for National Statistics (ONS) is a key short-term indicator of how levels of pay are changing within the UK economy. Generally speaking, the positive earnings growth anticipates positive (or bullish) for the GBP, whereas a low reading is seen as negative (or bearish).
GBP/USD reaction
Mixed UK jobs data failed to impress the GBP further, as GBP/USD held onto its recovery gains around 1.2665 region. The spot hit a fresh four-day high at 1.2687 in the last hour.
GBP/USD levels to watch
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