Reported about 1 year ago
UK's unemployment rate unexpectedly rose to a 2.5-year high of 4.4% in April, accompanied by a slowdown in pay growth, indicating cooling inflationary pressures and potential interest rate cuts by the Bank of England. This rise, coupled with decreasing pay pressures, may allow the central bank to reduce borrowing costs, as evidenced by increased expectations for rate cuts by money markets. However, despite political implications and improving living standards with real wage growth, the Labor market remains uncertain as vacancies drop and employment sees a notable decline, prompting the need for policy reassessment by the BOE.
Source: YAHOO