UK ILO Unemployment Rate edges higher to 3.9% in March vs. 3.8% expected

• The British Unemployment Rate unexpectedly rises to 3.9% in March.
• UK Claimant Count Change came in at 46.7K in April.
• The UK wages excluding bonuses rose to 6.7% YoY in March vs. 6.8% expected.

The latest data released by the Office for National Statistics (ONS) showed on Tuesday that the United Kingdom’s (UK) ILO Unemployment Rate rose from February’s 3.8% to 3.9% in March vs. the 3.8% expected while the claimant count change showed an unexpected increase in the reported month.

The number of people claiming jobless benefits jumped by 46.7K in April, compared with -10.8K expected and 26.5K booked previously.

The UK’s average weekly earnings, excluding bonuses, arrived at 6.7% 3Mo/YoY in March versus 6.6% prior and 6.8% expected while the gauge including bonuses came in at 5.8% 3Mo/YoY in the second month of the year versus 5.8% previous and 5.1% expected.

GBP/USD reaction

GBP/USD came under renewed bearish pressure and gave up 1.2500 on the mixed UK employment data. The pair is trading 0.29% lower on the day at 1.2492, as of writing.

About UK jobs

The UK Average Earnings released by the Office for National Statistics (ONS) is a key short-term indicator of how levels of pay are changing within the UK economy. Generally speaking, positive earnings growth anticipates positive (or bullish) for the GBP, whereas a low reading is seen as negative (or bearish).