Release Explanation: This release measures the change in the prices that businesses and governments pay for labor. “Although, this report does not take into account all sources of household income but the labor cash earnings does accurately reflect the spending ability of domestic households, which is one of the driving forces of economic growth,” TheLFB-Forex.com Trade Team said
TheLFB-Forex.com Trade Desk Thoughts: The annual rate of growth in average earnings including bonuses was 0.4 per cent in the three months to March 2009. This negative annual growth rate is unprecedented since comparable records began in 1991 and is mainly due to lower bonuses in the financial sector
Forex Technical Reaction: The pound lost 50 pips during the release, bouncing from TheLFB R2 (1.5320). During today’s trading session, the pound rose 200 pips.