Release Explanation: Measures the number of jobs created, or the percentage of employed/unemployed in the labor market. It is very important that economic forecasts are based on the labor market.” Economic strength builds from the willingness/confidence of firms to hire, without a strong labor market growth is hard to achieve,” TheLFB-Forex.com Trade Team said
TheLFB-Forex.com Trade Desk Thoughts: The unemployment rate increased again in the U.K. in the latest three months to February 2009, to the highest rate seen in the last decade. The released rate of 6.7% is in-line with market expectations. The number of unemployed people increased by 177,000 over the quarter and by 486,000 over the year, to reach 2.10 million. The unemployment level and rate have not been higher since 1997.
Forex Technical Reaction: The pound declined 80 pips during the European trading session. During the news release, the pound lost 40 pips. TheLFB-Forex.com Trade Team notes that the pound is heading towards the 100 SMA, which may pull some additional selling orders if broken