Yesterday’s session was rather like watching paint dry as volumes were thin due to Veteran’s Day in the US. Today will see activity pick up and with the focus on the UK, certainly this morning anyway, as we see unemployment data and average earnings released 09.30 UK time followed by the BOE’s Inflation Report at 10.30. Both events could have an impact on GBP which has still not given up the 1.5800 level against USD and is in fact at 1.5910 at the time of writing. UK unemployment has continued to surprise to the downside but the sticking point for the BOE and the wider UK economy has been the inability of wages to rise at a greater pace than inflation. Firms are willing to take on new staff, but they are not willing to give wage increases until the economic recovery has firmly established itself. The recent jitters in the Eurozone are not helping either. Whilst wage inflation is a lagging indicator and should pick up in time, judging by how anchored it’s been, the lag is taking longer than many had expected. The BOE Inflation Report is expected to reveal downgrades to both inflation and growth forecasts considering that the price of oil has plummeted in recent moves. Net-net however for the UK the fall in GBPUSD has meant that the 30% decline in crude prices will not be passed on and it’s more of a 20% fall, so the economic uplift may not be felt as much as elsewhere. This is yet another reason why the market is now pricing in the first rate hike from the BOE in the second half of 2015 and why any upside in GBPUSD could be limited. Further reading: Perfect Storm For Weaker AUD – Eaton Vance EUR/USD: A Buy On Dips; We Stay Long – Credit Agricole FxPro - Forex Broker FxPro - Forex Broker Forex Broker FxPro is an international Forex Broker. FxPro is an award-winning online broker, offering CFDs on forex, futures, indices, shares, spot metals and energies, serving clients in more than 150 countries worldwide. FxPro offers execution with no-dealing-desk intervention and maintains a client-centric business model that puts customer needs at the forefront of our operations. Our acquisition of leading spot FX aggregator, Quotix, enables us to offer access to a deep pool of liquidity, as well as top-class order-matching and some of the most competitive spreads in the market. FxPro is one of only few brokers offering Negative Balance Protection, ensuring that clients cannot lose more than their overall investment. FxPro UK Limited is authorised and regulated by the Financial Conduct Authority (registration number: 509956). FxPro Financial Services Limited is authorised and regulated by the Cyprus Securities and Exchange Commission (licence number: 078/07) and by the South Africa Financial Services Board (authorisation number 45052). Risk Warning: Trading CFDs involves significant risk of loss. View All Post By FxPro - Forex Broker Daily Look share Read Next EUR/USD: Fade Bounces; USD/JPY: Buy Dips – TD Yohay Elam 7 years Yesterday's session was rather like watching paint dry as volumes were thin due to Veteran's Day in the US. Today will see activity pick up and with the focus on the UK, certainly this morning anyway, as we see unemployment data and average earnings released 09.30 UK time followed by the BOE's Inflation Report at 10.30. Both events could have an impact on GBP which has still not given up the 1.5800 level against USD and is in fact at 1.5910 at the time of writing. UK unemployment has continued to surprise to the downside but the sticking point for… Top Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk.3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk.4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk.5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.