Sag in American jobless claims hints at labor market strength

Sag in American jobless claims hints at labor market strength

The previous week the overall number of US citizens filing for unemployment benefits decreased. Financial analysts consider it to be an evident indication that the US labor market is firm enough notwithstanding tensions between America and its trading partners, which have provoked tit-for-tat duties.

Initial claims for state unemployment benefits headed south by 2,000 reaching a seasonally updated 210,000 by August 18. That’s what the Labor Department revealed on Thursday.

It turned out to be the week of dips in a row for claims that have sunk so low that market experts have scrambled for explanations. Claims slumped to their lowest value since 1969 in July even although the workforce happens to be much larger than in previous decades.

Financial analysts surveyed by Reuters ahead of Thursday's news had foreseen claims jumping to up to 215,000 in the latest week.

Prices of longer-dated American Treasuries were trading a bit higher. As for American stock prices, they turned out to be mixed. Eventually, the evergreen buck rallied versus a pack of its rivals.

A separate report from the Commerce Department disclosing a sag in sales of new homes provided fresh sings of a decelerating American housing market.

However, the strength in the American labor market has appeared to be a major reason behind the key US bank’s everlasting campaign to lift interest rates.

Uncovered on Wednesday, minutes of the American key financial institution’s last policy gathering disclosed that policymakers debated lifting rates soon to withstand excessive economic strength. However, they also examined how global trade clashes could affect households and businesses.

The major bank has already had rates lifted twice in 2018 and it’s generally anticipated to this again in September.

Market experts tell that a firm economy is assisting the labor market in weathering the trade storm.


Markets Assess US-China meeting
Markets Assess US-China meeting

Hong Kong’s HK 50 index rose and the Chinese yuan edged up as traders assess the outcome of the first virtual meeting between US President Joe Biden and Chinese leader Xi Jinping.

What will move the market on November 8-12?
What will move the market on November 8-12?

The last week was so eventful for traders: FOMC Meeting, Bank of England’s rate decision, the OPEC+ meeting, and also NFP. This week is going to be interesting as well! Let’s see what you should focus on.

Latest news

Deposit with your local payment systems

Be on top of your game

Data collection notice

FBS maintains a record of your data to run this website. By pressing the “Accept” button, you agree to our Privacy policy.


A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Next callback request for this phone number
will be available in

If you have an urgent issue please contact us via
Live chat

Internal error. Please try again later

Don’t waste your time – keep track of how NFP affects the US dollar and profit!

Beginner Forex book

Beginner Forex book will guide you through the world of trading.

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera