GBP: May's job drop heavily revised – ING

Last month, a surprise 109k fall in May UK payrolls opened the discussion on whether the Bank of England had to accelerate easing, ING's FX analyst Francesco Pesole notes.

The 0.870 level should work as a sturdier resistance for

"That figure was revised massively today to just -25k. June added another 41k worth of job losses, which confirms a clear softening pattern, but the big revisions for May should take some heat off the BoE."

"Wage growth is also still too high for the BoE's liking, though on a 3M annualised basis, private sector pay is rising at 3.6%, which is better than the year-on-year numbers indicate and is lower than we saw much of last year."

"EUR/GBP reaction to the data has been modestly negative, but given the bar for a BoE dovish repricing is now higher, the 0.870 level should work as a sturdier resistance."