DislikedWell the News is.... that claimant count droped to +3.6k and that unemployment in UK down by 0.1%...
problem is my suspicions on the increase in jobs are temporary in UK... possibly a manipulated figure...
With the Queens Diamond Jubilee and London 2012 Olympics...
The reason behind the increase in jobs i believe has something to do with the prospect of labor force having to work on sundays during queen jubilee and olympics... so for me i just dont see the jobs being that rosy.....Ignored
- core CPI higher than expected so mkt hopes that BoE looks to tightesn monetary policy ---> GBP positive
- LONG-time Monetary Policy Committee dove Adam Posen dropped his campaign for an immediate further increase in stimulus earlier this month, it emerged yesterday. MPC minutes add: "Moreover, persistently weak growth might impair the future supply capacity of the economy through hysteretic effects: that risk could be attenuated by a more aggressive loosening of policy in the near term. Should the possibility of inflation being above target in the medium term increase, the committee could subsequently withdraw some of the monetary stimulus."
This was bullish on GBP.
EURGBP selling to new long time low helped as well just look at the chart.
I expected otherwise and I still think this level of GBPUSD is almost a top for the year.
All market moves on news, regardless of direction will be faded sooner or later.
Seb