{"id":597232,"date":"2026-08-18T17:14:11","date_gmt":"2026-08-18T17:14:11","guid":{"rendered":"https:\/\/www.newsbeep.com\/ie\/597232\/"},"modified":"2026-08-18T17:14:11","modified_gmt":"2026-08-18T17:14:11","slug":"british-pound-soft-uk-jobs-but-supportive-mix","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/ie\/597232\/","title":{"rendered":"British Pound: Soft UK jobs but supportive mix"},"content":{"rendered":"<p>Brown Brothers Harriman\u2019s (BBH) Elias Haddad describes United Kingdom (UK) June labor data as soft, with unemployment stuck at 4.9% and private sector regular pay growth slowing to 2.8% year-on-year. Haddad judges current market pricing of 60 bps of Bank of England (BoE) hikes over 12 months as too aggressive, yet believes the UK\u2019s favorable growth-inflation mix still offers <a href=\"https:\/\/www.fxstreet.com\/currencies\/gbpusd\" data-fxs-autoanchor=\"\" rel=\"nofollow noopener\" target=\"_blank\">British Pound<\/a> (GBP) support for now.<\/p>\n<p>Labor slack tempers BoE expectations<\/p>\n<p>&#8220;UK June jobs data was soft and indicative of ongoing labor market slack. The unemployment rate was unexpectedly unchanged at 4.9% for a third straight month in June. Consensus and the <a href=\"https:\/\/www.fxstreet.com\/macroeconomics\/central-banks\/boe\" data-fxs-autoanchor=\"\" rel=\"nofollow noopener\" target=\"_blank\">BoE<\/a> had 4.8% penciled-in.&#8221;<\/p>\n<p>&#8220;Moreover, the policy-relevant private sector regular pay growth slowed to 2.8% y\/y in June (lowest since October 2020) vs. 2.9% in May. That matched consensus and the BoE\u2019s projection.&#8221;<\/p>\n<p>&#8220;The swaps curve continues to price-in 60bps of BoE rate hikes in the next twelve months. That\u2019s too aggressive in our view given the UK\u2019s negative output gap, and leaves rate-hike expectations vulnerable to a dovish repricing. For now, the UK\u2019s favorable growth-inflation mix offers GBP good support.&#8221;<\/p>\n<p>(This article was created with the help of an Artificial Intelligence tool and reviewed by an editor. <a href=\"https:\/\/www.fxstreet.com\/info\/how-fxstreet-uses-ai?utm_medium=internal&amp;utm_source=ai-disclaimer\" rel=\"nofollow noopener\" target=\"_blank\">Know more.<\/a>)<\/p>\n","protected":false},"excerpt":{"rendered":"Brown Brothers Harriman\u2019s (BBH) Elias Haddad describes United Kingdom (UK) June labor data as soft, with unemployment stuck&hellip;\n","protected":false},"author":2,"featured_media":449699,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[11],"tags":[72,113,61,60],"class_list":["post-597232","post","type-post","status-publish","format-standard","has-post-thumbnail","category-economy","tag-business","tag-economy","tag-ie","tag-ireland"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/597232","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/comments?post=597232"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/posts\/597232\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media\/449699"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/media?parent=597232"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/categories?post=597232"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/ie\/wp-json\/wp\/v2\/tags?post=597232"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}