LONDON, U.K.: The pound has weakened sharply this week after fresh data showed Britain's labour market losing momentum, with wage growth slowing and unemployment edging higher.
Sterling fell 0.29 percent against the dollar to US$1.359, down from $1.3613 before the figures were released. Losses continued through this week, and by Thursday the pound had sliced through the crucial technical level of 1.3500,
On Thursday the pound was trading at 1.3495 in forex trading in Asia.
One closely watched gauge of pay growth, average weekly earnings measured over three months compared with a year earlier, slowed to 4.2 percent, below expectations and down from 4.6 percent in November.
The unemployment rate rose to 5.2 percent in December from 5.1 percent the previous month, matching economists' forecasts.
The softer wage data and uptick in joblessness could reinforce expectations that the Bank of England has room to cut interest rates further.
Despite the recent pullback, sterling it has been resilient for most of this year. The U.S. currency has been pressured by uncertainty surrounding the Trump administration's economic policies, while Britain's economy has shown tentative signs of improvement.
