In early trading on Tuesday, the pound reached $1.4377, surpassing a postreferendum high set in January.
Official figures show that wages in Britain are rising faster than prices, a positive development for households that will likely fuel expectations that the Bank of England will raise interest rates again next month.
"There were no signs of a let up in the pace of hiring".
Markets care about the data because of the influence that changes in unemployment and wages can have on inflation, in that lower unemployment and faster wage growth means higher inflation further down the line. "Certainly there's nothing within the labour market numbers to prevent the Monetary Policy Committee from raising interest rates in May", he said. Despite failing to gain speed in the latest data, the headline total pay growth measure matched its strongest reading since mid-2015.More news: Nokia X set for 27th April unveil
Sterling pared back earlier gains and sank to a fractional loss against its developed world rivals in response to the report Tuesday.
The pound has also been at its highest level for almost a year against the euro in recent days, at just under €1.16.
The pound has climbed to its highest level against the dollar since the Brexit vote.
"The pound was the standout performer yesterday and is now the best performing G10 currency versus the USA dollar on a year-to-date basis". The surprise vote led to a sharp fall in the value of the pound, which raised the cost of imported goods, notably food and energy.More news: Democrats' midterm advantage narrows in new poll
After all, much of the Pound's 10% gain over the Dollar in 2017 came as a result of a weak United States currency rather than a strong Sterling. The ILO jobless rate is forecast to remain unchanged at 4.3%.
However, inflation over the period using a slightly different measure preferred by the Bank of England - CPI - was an average 2.9%, still slightly ahead of wage increases. Sterling fell as low as $1.20 at the beginning of 2017, having traded at close to $1.50 prior to the vote.
Several factors have supported this recent resurgence, ranging from an increased market confidence that the United Kingdom and European Union can strike a Brexit deal, to falling confidence in the agenda of US President Donald Trump, which has weakened the dollar.Britain's better than expected economic performance over the last 18 months has also helped the pound over recent months.More news: Australian Greens announce push to legalise cannabis
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