When is the UK Jobs Report and how could it affect GBP/USD?

UK Jobs Report Overview

The United Kingdom (UK) docket has the labor market report to be released by the Office for National Statistics (ONS) on Tuesday, later this session at 06:00 GMT.

UK Claimant Count Change for August is expected to rise by 20.3K, reflecting the number of people claiming jobless benefits. However, the Claimant Count Rate for the same period remains unknown.

UK Average Earnings, including bonuses, in the three months to July, are expected to accelerate by 4.7%, following 4.6% prior, while ex-bonuses, the wages are expected to rise by 4.8% against the previous 5.0%

UK Employment Change (3M) remains unknown for July, while ILO Unemployment Rate (3M) may remain consistent at 4.7% for the same month.

How could the UK Jobs Report affect GBP/USD?

The UK jobs report may take a backseat as traders shift focus to Wednesday's Consumer Price Index (CPI) and Retail Price Index releases. The Pound Sterling (GBP) draws support against its peers from cautious sentiment surrounding the Bank of England (BoE) to hold interest rates steady at 4% in the monetary policy meeting on Thursday.

The GBP/USD pair remains stronger above 1.3600 as the US Dollar (USD) weakens, as traders expect the US Federal Reserve (Fed) to lower rates by 25 basis points at its September meeting due on Wednesday. Traders will likely be watching the US Retail Sales for August on Tuesday.

Akhtar Faruqui, FXStreet's Analyst, notes: The GBP/USD pair may appreciate toward its initial barrier at 1.3788, the highest since October 2021. On the downside, the primary support lies at the nine-day Exponential Moving Average (EMA) of 1.3555, followed by the 50-day EMA at 1.3485.