US Weekly Jobless Claims Go Down Amid Strong Labor Market
The recent data from US weekly jobless claims is now out, which has revealed that even fewer people are filing for unemployment benefits.
This is an indication that the labor market in the USA is very strong despite the recent turmoil in the financial market. However, any further increase in the trouble could cast a shadow over the US economy.
In addition, more data coming from the USA is also painting a bullish view of the economy. Similarly, home building in the USA also increased during February, mainly due to the strong rental housing market.
Similarly, the import prices have also gone down, which is also good for US consumers and the economy.
According to a chief economist, the real economy is not showing any warning signs, and the labor market is also strong. In addition, the builders are also working to build new houses in the market, which is also a good sign.
192000 Initial Jobless Claims In February
Overall, the initial jobless claims have dropped by 20,000 and reached a number of 192,000 only. On the contrary, the economists were expecting a jobless claims number of 205,000.
Similarly, the unadjusted jobless claims have reached 217444 after dropping by 21296. In New York alone, the jobless claims are down by 15305, which is a good sign.
The states with the most declines in jobless claims were Oregon, California, Minnesota, and Georgia.
Considering all the recent job cuts by the tech giants, the current situation of the labor market is very satisfactory and even favorable for the US Federal Reserve.
In fact, this is raised the chances of yet another rate hike from the Fed in the next few weeks. However, we can't ignore how there is some trouble brewing in the banking sector after the collapse of few banks.
It appears that not everything is right with the USA banks and some serious trouble is hiding in plain sight.