Forex Marketz Daily Forex News – Fully Markets Update
The Sterling moved sharply lower after labor data was a mixed, if not, quite disappointing. Couple that with a decision not to raise interest rates, this pushed sentiment even lower. The GBP/USD fell sharply to trade below 1.5085. The Bank of England (BOE) voted unanimously not to raise it benchmark rate. Not surprising judging by the tepid economic growth in the United Kingdom and the Eurozone. Please see the below 5 minute MT 4 chart.
The United Kingdom (UK) ILO Unemployment Rate was released today, for the month of November. It came in better than expected at 5.8 percent, as the consensus forecast was for 5.9 percent. Average weekly earnings (3 month) for November, came in expected as it grew 1.7 percent. There was big disappointment with the UK Employment Change. This came in below expectations with a tepid 37,000 new jobs. This means that the employment numbers increased only by half of what was expected (74,000). The number was less than one third of the previous number which printed at 115,000.
After the news the GBP/USD tumbled 60 pips and has since then been stuck in an erratic, volatile consolidative pattern. Today’s news does not change the overall trading strategy on the Sterling/Dollar currency pair.
