The British Pound fell strongly against the US Dollar on the mostly upbeat UK job market report. The GBP/USD dropped 59 base points or 0.45% to the 1.1318 mark, to recover modestly back to the 1.3170 area.
The Office for National Statistics said that Britons’ total earnings, including bonuses, marked a 2.2% yearly growth pace in the three months period to September. Meanwhile, the UK unemployment rate held at 4.3% in the reported month, the lowest level in four decades, but failed to push wages. Majority of the Bank of England’s policymakers anticipate low unemployment rate to fuel pay growth soon. However, consumer price inflation remaining at 3.0% continued to squeeze households’ spending power.
