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UK Unemployment Rate Unexpectedly Drops to 4.0%, Wage Inflation Slows

Published 08/14/2018, 04:33 AM
Updated 08/14/2018, 04:33 AM
© Reuters.  UK unemployment rate drops to 4.0% vs. 4.2% forecast

Investing.com - The number of people in employment in the UK rose 42,000 in the three months to June, compared to the 93,000 expected.

The claimant count, which measures the change in the number of people claiming unemployment benefits rose 6,200 in July from 9,000 in the three months to June.

June’s data was revised from an initial reading of 7,800.

Economists had forecast a decrease to 3,800 for June.

The unemployment rate held unexpectedly dropped to 4.0% in June. That was its lowest level since 1975.

Economists had expected no change to May’s reading of 4.2%.

Average earnings, excluding bonuses, rose by an annual 2.7% in the three months to June, matching consensus.

May’s reading was revised up to 2.8%, from the initial 2.7%

Including bonuses, pay growth rose by an annual 2.4%.

Analysts had expected the reading to hold steady at May’s 2.5% gain.

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