Sterling fell after disappointing UK jobs data on Wednesday showing the unemployment rate rose to 8.3 percent, the highest in fifteen years.
The rate was expected to increase to 8.2 percent from the previous 8.1 percent.
The Office for National Statistics reported that the claimant-count change (a measure of unemployment which measures the number of Britons claiming jobseekers allowance) rose by 5,300, to 1.6 million in October. This was well short of expectations for an increase of 20,000. September’s initial figure of 17,500 was revised to a 13,400 increase.
The number of young British people without a job topped one million at the end of September.
Youth unemployment rose the most as unemployed people aged between 16-24, rose 67,000 in the three months to September to total 1.02 million, and for a rate of 21.9%. That’s the highest level, and rate, for this group since comparable records began in 1992.
GBPUSD fell to 1.5761 from 1.5797 within a few minutes of the data before rebounding slightly.