When are the UK jobs and how could they affect GBP/USD?

UK Jobs report overview

The UK labor market report is expected to show that the average weekly earnings, including bonuses, in the three months to September, are expected to rise by 3.8%, while ex-bonuses, the wages are expected to also rise by 3.8% in the reported period.

The number of people seeking jobless benefits is likely to increase by 20k in October. The ILO unemployment rate is expected to hold steady at 3.9% during the period.

How could they affect GBP/USD?

Haresh Menghani, Analyst at FXStreet explains, “the near-term bias might have already shifted back in favor of bullish traders, though it will be prudent to wait for a sustained move beyond the 1.2900 mark before positioning for any further near-term appreciating move. Above the mentioned handle, the pair is likely to aim towards testing the 1.2965-70 intermediate resistance before eventually darting towards reclaiming the key 1.30 psychological mark. On the flip side, the confluence resistance breakpoint now seems to protect the immediate downside and is followed by support near the 1.2800 handle. Failure to defend the said support levels might turn the pair vulnerable to accelerate the fall further towards challenging the 1.2700 handle with some intermediate support near the 1.2765 region." 

Key Notes 

UK employment and German ZEW amongst market movers today – Rabobank

UK Jobs Outlook: Win-win situation for GBP/USD amid BOE forecasts, Farage

GBP Futures: room for extra upside

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).