GBP/USD back to 1.2750 on UK jobs

The British Pound has surrendered part of its earlier gains vs. the greenback, now forcing GBP/USD to retreat to the 1.2760/50 band.

GBP/USD retreats from tops on UK data

Cable met some downside pressure after the UK’s jobless rate stayed put at 4.6% in the three months ended in April and claimant count change rise by 7.3K, less than initially estimated.

Further data showed wage inflation easing further its momentum, with average earnings including bonus rising 2.1% on a yearly basis and 1.7% excluding bonus, both prints coming in below expectations.

Cautiousness ahead of key US data releases and the FOMC meeting later in the NA session should drive the broad-based sentiment around GBP today, while concerns over the UK political scenario and its consequences on Brexit negotiations stay a key driver in the longer run.

GBP/USD levels to consider

As of writing the pair is losing 0.02% at 1.2750 and a breakdown of 1.2632 (low Jun.9) would open the door to 1.2625 (100-day sma) and finally 1.2569 (200-day sma). On the upside, the next hurdle lines up at 1.2771 (high Jun.12) followed by 1.2791 (55-day sma) and then 1.2882 (20-day sma).