wrapper

BoE needs to see higher wages before thinking about rate hike

Tuesday, Dec 29 2015
A gift of higher wages wouldn't be taken for granted by Bank of England (BOE) Governor Mark Carney, who has asked to see a 3 percent bump in wage growth by year-end before he would even consider raising the U.K.'s record-low interest rate. 
 
While Britain has managed to cut unemployment to 5.2 percent — its lowest level since 2006 — wage inflation has remained stubbornly low, with the Office for National Statistics reporting 2 percent growth, including bonuses, in the three months to October. That might not be so bad, until you consider that's down from 2.9 percent the previous quarter. 
 
In its latest business conditions summary, the BOE said low inflation — currently at 0.1 percent— is to blame, with most pay increases staying within the 1 to 3 percent range.
 
Sterling is currently being traded around 1.49 handle. Pair is likely to find support around 1.4850 handle and resistance above 1.4930 level. Later today, in the US session, CB Consumer Confidence figures are scheduled for a release.
More in this category: « Aussie could fall further even with stabilisation in commodities USD strengthen against major rivals despite lack of news release »

Latest from Editor

About Us

Forex Web News is part of Rolling Capital Network providing financial consulting.

Within the Forex Web News we provide our readers with expert and timely technical analyses, fundamental analyses and news; with one aim – for our readers to make best possible financial decisions.

Forex Web News desks and analysis department follow the international markets closely and create high quality proprietary content on a both daily and weekly basis.

.

All our analysts have several years of trading and analysis experience. The Forex Web News analysis team creates daily and weekly analyses and offer forecasts regarding where they believe the markets are heading. Our readers are provided with data displayed both in texts and on graphs, providing them the fullest understanding of what is happening in the market place.

We are constantly growing our news desks and our analysis departments as we strive to broaden the content we provide to visitors of the Forex Web News.

Disclaimer

Rolling-capital.com – The company, employees, subsidiaries and associates, are not liable nor shall they be held liable jointly or severally for any loss or damage as a result of reliance on the information provided on this website. The data contained in this website is not necessarily provided in real-time nor is it necessarily accurate. All prices herein are provided by market makers and not by exchanges. As such prices may not be accurate and they may differ from the actual market price. rolling-capital.com bears no responsibility for any trading losses you might incur as a result of using any data within the Forex Web News.