Wage growth boosts pound

22 March, 2018

Wage growth boosts pound

The British pound received another boost today against its US counterpart after a round of solid local data which follow’s on from news earlier in the week on the agreement of a transition deal between the UK and the EU.

Job figures released earlier today showed the unemployment rate falling to 4.3 percent from a previous figure of 4.4 percent which marks the lowest level since 1975.

The most important figure for the market was the wage growth figures which hit the market at 2.8 percent which was up from 2.5 percent from the previous period.

The number also beat analysts’ expectations who were expecting a figure of 2.6 percent.

The pound pushed significantly higher on the news as many now predict it has paved the way for the bank of England to lift interest rates over the coming months without having to worry about overall wage growth which seems to have kept them from raising rates earlier.

"January’s labour market figures provided clearer signs of a revival in earnings growth, suggesting that it won’t be long before we start to see sustained rises in real pay," says Ruth Gregory, a UK economist at Capital Economics.

"Overall, today’s figures add further weight to our view that the next interest rate hike will occur in May." He added.

Yesterday’s CPI figures which came in below expectations will also relieve some pressure on the BOE if they lift interest rates as the fear of pushing inflation higher subsides


Source link  
Can gold finally breakout?

The gold price received a much-needed boost yesterday after disappointing data from the US hit the market which cast doubts over the state of the US economy...

Is gold stuck in a bear market?

The US dollar has been on a stellar run over the last few weeks against most of the major currencies and commodities such as gold, which is why...

Dollar to continue its recent strength

It seems as if the market has finally woken up to the potential of the US dollar after the recent gains it racked up against most major currencies over the past week...


Rates in Australia going up or down?

The Australian dollar can’t seem to find a direction in today’s trading session after yesterday’s losses following the latest minutes from the Reserve...

Gold remained largely range bound

Gold has remained largely range bound over the past 4 trading sessions but it seems as the today there is momentum gaining to the upside and the formation...

Stagflation a threat to US dollar

The US dollar jumped suddenly after yesterday’s release of better than expected inflation data and then suddenly reversed into negative territory which...


Gold made a run for the $1365 mark

If we look at the arrow on the weekly gold price chart we can see that a resistance point that was first encountered in around august of last year...

Gold awaits direction of Stockmarket

The gold price has remained in a tight range over the last 3 trading sessions as equity markets in the US continue to swing wildly and are now down...

US dollar in for a tough year

The US dollar finished off 2017 mostly weaker against the major currencies despite 3 rate hikes from the US Federal Reserve and although...


In the past 24 hours Bitcoin has lost -5.6% and reached $7845.91. Open your trading account with the best cryptocurrency brokers on special terms today.

In the past 7 days the EUR/USD pair has lost -0.6235% and is now at $1.1765. Start trading and making money on Forex today.

In the past 7 days Ethereum has lost -10.72% and is now at $619.989. Have the most popular cryptocurrencies compared online 24/7.


Top Brokers offering Daily Forex Market Reviews


Forex Currencies Forecasts


Top 10 Forex Brokers 2018

# Broker Review
1easyMarketseasyMarkets89%
2FXTMFXTM88%
3HYCMHYCM86%
4FxProFxPro82%
5FIBO GroupFIBO Group81%
6FXCMFXCM71%
7HotForexHotForex70%
8XMXM69%
9Alfa-ForexAlfa-Forex68%
10Grand CapitalGrand Capital65%
  


Share: