The number of Americans filling for unemployment benefits was 0.190 million in the week ended February 25, compared to 0.192 million reported in the previous week. Today’s reading came in below market expectations of 0.195 million and points out that the US labor market remains tight in part to reduced labor force participation. This could force employers to raise wages to attract and keep staff, adding to further inflationary pressure in the world's largest economy.
A big surprise, is an increase in labor costs to 3.2% q/q from 2.0% q/q and well above expectations of 1.5% q/q.
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Open account Try demo Download mobile app Download mobile appProductivity rose only by 1.7% q/q from previous level of 1.4% q/q and below analysts estimates o 2.6% q/q.
The four-week moving average, which removes week-to-week volatility, rose by 1,750 to 193,000.
Continuing claims reading, which lags initial jobless claims data by one week, rose to 1,655 million from 1,654 million, while analysts expected increase to 1.665 million.
The latest value remained close to the 9 low of 0.183 million hit at the end of January. Source: Bloomberg via ZeroHedge
The total number of Americans on some form of unemployment benefits continues to hover around one-year highs. Source: Bloomberg via ZeroHedge
EURUSD is trading lower today and claims data provided more fuel for bears. The main currency pair fell below 1.0600 area. Source: xStation5
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