Pound Remains Under Pressure. Overview 16.07.2019

On Tuesday morning the British pound remains under pressure in the pair with the US dollar, the current quotation being 1.1260

The position of the pound is deteriorated by the increased risk of the tough Brexit, too careful and sluggish economic development in the country as well as a clearly visible softening of the Bank of England policy.

Today the labour market statistics is going to be published. The data about the unemployment rate in May is being prepared for publication; most probably it remains at the level of 3.8%. The average 3 months salary may have grown by 3.1% by May, as before. The amount of applications for unemployment benefit in June may amount to 18.9 thousand against 23.2 thousand in May, which is quite good.

All in all, the labour market in the country remains stable regardless of the constant stress on the verge of Brexit. This must be one of the strongholds of stability inside the economic system, which is struggling for some balance while the lords are deciding upon the exit from the European Union.

Head of the Bank of England Mark Carney is delivering a speech today, but there is little chance for anything unexpected in it.