The latest jobless claims figures from the Department of Labour shows initial claims filed during the week ending 1st August declined to 1,186,000, beating consensus expectations for 1,432,000. S&P 500 and Nasdaq futures creeped higher on the news, erasing their pre-market losses, while the yield on the US 10-year treasury ticked higher by about 1bp.
Although initial US jobless claims were better than the median forecast of 1.45m, this week’s print of 1,434,000 represented an increase of 12,000 on last week’s revised figure. The message is clear. The US economic recovery is sputtering and stalling and needs an injection of stimulus soon. The top three largest rises in initial claims
Economists and analysts had been expecting this week’s initial jobless claims figure to remain the same as last week’s 1.3m, however, today’s jump to 1,416,000 missed by a wide margin. The initial claims data adds to pressure on legislators to pass a new stimulus package ahead of the summer recess, so as to ensure the
The Federal Reserve’s beige book (a report published eight times a year providing commentary on current and future economic conditions based on survey responses from key business contacts, economists, market experts, and other sources) set the tone for this week’s positive economic data out of the US. The report found activity had increased in each