The U.S. dollar dropped on Tuesday, while Sterling and Euro rose
Today’s Euro was up against the greenback and the British Pound. New data shows that the eurozone’s employment rate rose more than expected. The U.K. also saw a surge in basic pay growth. These reports highlight the labor market’s resilience across the region.
Despite slowing economic growth in the eurozone the number of people who have jobs increased by 0.4% quarter on quarter. The pace of basic pay growth in the United Kingdom accelerated once again in the third quarter of 2022. The cooling labor market hadn’t affected it as much as economists feared. The Bank of England tracks the pace of national pay growth. Based on these data, the BoE determines whether to raise interest rates.
Tuesday saw the common currency trade at $1.0756, up 0.3% compared to the USD. Since February 2, when the Euro hit a 10-month high of $1.1034, it has dropped by 2.56%. The British Pound has risen 0.4% to $1.2192 after briefly climbing to an 11 day high against the dollar.
Equiti Capital’s head macroeconomist, Stuart Cole, stated that the Bank of England…