UK May ILO unemployment rate 4.9% vs 5.0% expected

The UK labor market data came in slightly stronger than expected, with the May ILO unemployment rate holding at 4.9% versus 5.0% expected and unchanged from the prior month. Employment growth also beat forecasts at 147k compared with 80k expected, although average weekly earnings eased to 4.3% from 4.4%. The mixed payroll and wage picture suggests the labor market remains resilient but not overheating. For UK assets, the data is modestly supportive for sterling and may reduce immediate pressure for policy easing, while limiting upside for risk assets tied to looser monetary expectations. The June payrolls decline of 4k offsets some of the positive tone, so the release is best read as broadly steady rather than a clear labor-market acceleration.