UK Wage Growth Hits 11-Year High

UK Wage Growth Hits 11-Year High

XTB  | Jul 16, 2019 09:48

The latest employment figures have given mixed messages on the health of the UK labour market, with both jobless claims and wages rising. The main takeaway is the larger than expected rise in wages with the increase coming in at the fastest pace in over a decade.

Given that inflation for the same month, as measured by the CPI, rose by 2.0% the figures represent a sizeable increase in real wages for workers.

In terms of market reaction it’s been fairly muted after earlier the pound fell to a 6-month low against the euro and sterling is not far from its weakest level of the year versus the US dollar.

The currency has been in a persistent downtrend for the past couple of months with last week’s depreciation against the euro making it 10 consecutive weekly declines and the longest such run on record! What is worth noting about the drop is the slow and steady nature of it, with no real sharp moves just a persistent move lower. This reflects the lack of any new obvious negative catalysts and more shows the continued headwinds to the currency due to the ongoing political uncertainty.


Related Articles

Latest comments

Add a Comment
Please wait a minute before you try to comment again.
Write a reply...
Please wait a minute before you try to comment again.

Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.

English (USA) English (India) English (Canada) English (Australia) English (South Africa) English (Philippines) English (Nigeria) Deutsch Español (España) Español (México) Français Italiano Nederlands Português (Portugal) Polski Português (Brasil) Русский Türkçe ‏العربية‏ Ελληνικά Svenska Suomi עברית 日本語 한국어 中文 香港 Bahasa Indonesia Bahasa Melayu ไทย Tiếng Việt हिंदी
Sign out
Are you sure you want to sign out?
Saving Changes