• Jesús Cabra Guisasola, Associate at Validus Risk Management,


• 14.12.2021 04:15 pm
#economy #unemployment

Commenting on this morning’s UK unemployment figures, Jesús Cabra Guisasola, Associate at Validus Risk Management, said:

“Companies in the UK added to payrolls in November at a record pace with unemployment continue falling. However, pay growth slowed down through October to 4.9% from 5.9% in the quarter through September.

“These numbers will put further pressure on the BoE with the unemployment rate continue falling despite the end of the furlough program and with inflation jumping to record levels. Nevertheless, most investors bet that policymakers are unlikely to hike interest rates this week after disappointing the market during the last interest rate decision in November. Moreover, the new variant of Covid-19 is threatening the recovery in the short term as the government continue imposing further restrictions to contain the spread. February is looking as the most likely meeting for the BoE to become the first major central bank to increase its benchmark rate.”