Breaking: GBP/USD rises towards 1.3050 as UK wages beat estimates with 3.2%

The UK wages excluding bonuses rose by 3.4% YoY vs. +3.4% expected.
The UK wages including bonuses rose by 3.2% YoY vs. +3.1% expected.
The UK unemployment rate steadies at 3.8% in November.

FXStreet Team FXStreet

The Office for National Statistics (ONS) showed on Tuesday, the UK’s average weekly Earnings, excluding bonuses, arrived at 3.4% 3Mo YoY in November versus 3.5% last and 3.4% expected while the gauge including bonuses came in at 3.2% 3Mo YoY in November versus 3.2% previous and 3.1% expected.

The Kingdom’s official jobless rate steadied at 3.8% in Nov, while the claimant count change showed a smaller-than-expected increase.

The number of people claiming jobless benefits rose by 14.9K in December, against expectations +22.6K and +14.9K (revised up from +28.8K) seen previously. The claimant count rate rose to 3.5% vs. 3.4% previous.

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).

FX Implications

GBP/USD caught a fresh bid-wave and rose nearly 25-pips to reach fresh session highs at 1.3035 on solid UK jobs report. The further upside, however, looks unlikely amid uncertainty over the EU-UK post-Brexit trade deal and increased BOE rate cut calls.

GBP/USD Levels to watch

GBP/USD

Overview
Today last price	1.3030
Today Daily Change	0.0006
Today Daily Change %	0.05
Today daily open	1.3007

Trends
Daily SMA20	1.3072
Daily SMA50	1.3038
Daily SMA100	1.2805
Daily SMA200	1.269

Levels
Previous Daily High	1.3016
Previous Daily Low	1.2962
Previous Weekly High	1.312
Previous Weekly Low	1.2954
Previous Monthly High	1.3515
Previous Monthly Low	1.2896
Daily Fibonacci 38.2%	1.2995
Daily Fibonacci 61.8%	1.2983
Daily Pivot Point S1	1.2974
Daily Pivot Point S2	1.2941
Daily Pivot Point S3	1.292
Daily Pivot Point R1	1.3028
Daily Pivot Point R2	1.3049
Daily Pivot Point R3	1.3082

Author

FXStreet Team

FXStreet

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