Signs of recovery in the US labour market

Last week, the number of initial claims for benefits exceeded 2.12 million. This is the smallest number in ten weeks, but still historically unseen levels. The number of new claims is falling extremely slowly, noting further cuts in business.

However, data on continued claims for benefits gave an important positive signal, decreased by 3.86 million over the week. People are returning to work (or finding a new one). Of course, the United States is only at the beginning of the road, and the number of continued claims is unlikely to return to the pre-pandemic level of 1.7 million in the foreseeable future. Although, this is the first sign that the lowest point for employment (and markets) may be behind us.

The FxPro Analyst Team