© Reuters
Investing.com – Data was just released and it came down to 239K while the expected 266K claims.
Data was also issued and came at 2.0%, while it was expected to be 1.4% on a quarterly basis.
These data mean that the US labor market is still stronger than expected, and the economy is still able to grow at a strong pace, which gives the Fed the required space to raise interest rates twice or more, as confirmed by President Jerome Powell during his recent speeches.
In the past three weeks, jobless claims have been hovering at high levels last seen in October 2021. The readings indicated an increase in layoffs, consistent with an increase in reported job cuts outside the technology sector as the economy begins to feel the impact of the exorbitant interest rate hike. for the Federal Reserve.
Recent policy changes in Minnesota, which made tens of thousands of hourly school workers eligible for state unemployment benefits over the summer vacation, also contributed to some of the increase in claims. Fraud in some countries may also be a problem.
Claims, relative to the size of the job market, are well below the 280,000 level that some economists say indicates a significant slowdown in job growth. The employment growth rate was 314,000 jobs per month this year.
Job growth is being led by the services sector, including the leisure and hospitality category, which is still catching up after companies struggled to find workers over the past two years. Industries such as healthcare and education have also seen accelerated retirements during the COVID-19 pandemic.
The number of people receiving benefits after an initial week from Help, a proxy for employment, fell by 19,000 to 1.742 million during the week ending June 17, the claims report showed.
So-called continuing claims are low by historical standards, which indicates that some laid-off workers have been experiencing shorter periods of unemployment.
A survey from this week showed consumers’ perceptions of the labor market were optimistic in June, with more jobs viewed as “plentiful” than in May, and a slight decrease in the share who thought jobs were “hard to come by.”
Market monitoring
Prices fell strongly, recording a decline of 0.60%, down to 1,909 an ounce. While it recorded $1,902 an ounce, a decline of $1,901 an ounce.
The US dollar index rose strongly to record 102.782, an increase of 0.21%.
Index futures rose to 141 points, Nasdaq contracts increased by 0.30%, and contracts rose by 0.32%.
2023-06-29 12:31:00
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