UK labour market report in focus in the session ahead

Major currencies are keeping lightly changed overall, with smaller ranges still holding so far today. It will be another placeholder session in Europe more or less, as market players are eyeing key US data this week. Here’s a look at dollar pairs and their daily ranges for now:

Looking to the session ahead, UK labour market data will be the main thing on the calendar to watch. The jobless rate is estimated to tick higher again and that will be a concern for the BOE. The reading for June is estimated to be at 4.5%. For some context, it was at 3.8% in December.

That said, there are still some inaccuracies surrounding the data as ONS has been struggling to revise their methodology. From last month: There are still issues plaguing labour market data transformation – ONS

In any case, as labour market conditions continue to show signs of worsening, that will be a driving factor for the BOE to want to cut rates. So, there’s that.

0600 GMT – UK June ILO unemployment rate, employment change0600 GMT – UK June average weekly earnings0600 GMT – UK July payrolls change0700 GMT – Spain July final CPI figures0900 GMT – Germany August ZEW survey current conditions, economic sentiment1000 GMT – US July NFIB small business optimism index

That’s all for the session ahead. I wish you all the best of days to come and good luck with your trading! Stay safe out there.

This article was written by Justin Low at www.forexlive.com.