All Eyes on Whether UK Employment Data Will Give the Pound a Boost

All Eyes on Whether UK Employment Data Will Give the Pound a Boost

19.07.2022

In yesterday’s U.S. currency trading, as the U.S. dollar faced resistance at higher levels, the Canadian dollar surged, and the CAD/JPY pair rose by approximately 90 pips from 106.107 to 107.014.The pair is currently trading around 106.522, less than 100 pips below this year’s high of 107.198 set on June 9. It will be interesting to see if further gains during European trading hours will lead to a new high.

Among European currencies, the pound emerged as the strongest currency from European trading hours through U.S. trading hours, with the GBP/USD pair rising approximately 170 pips from 1.186 to 1.203.In today’s UK employment report, we’ll be watching the job market to see if the unemployment rate improves from the previous reading of 4.0%. If the results come in better than market expectations, there is potential for further gains, so we’ll be closely monitoring whether GBP/USD breaks above its recent high of 1.205.

Today, the UK employment report and Swiss trade balance will be released at 15:00 Asia time; Turkish home sales at 16:00 Europe time; the Eurozone Consumer Price Index (final reading) at 18:00;during U.S. trading hours at 21:30, U.S. housing starts; at 24:00, remarks by Bank of England Governor Bailey; at 27:35, remarks by U.S. Federal Reserve Vice Chair Brainard; and around 29:00, Netflix’s second-quarter earnings report.We’ll be watching to see if the UK employment report gives the pound a boost.