US weekly jobless claims hit 3.84 million

1 May, 2020

First-time filings for unemployment insurance hit 3.84 million last week as the wave of economic pain continues, though the worst appears to be in the past, according to Labor Department figures Thursday. Economists surveyed by Dow Jones had been looking for 3.5 million.

Jobless claims for the week ended April 25 came in at the lowest level since March 21 but bring the rolling six-week total to 30.3 million as part of the worst employment crisis in U.S. history. Claims hit a record 6.87 million for the week of March 28 and have declined each week since then.

Last week’s initially reported figure was revised up by 15,000 to 4.4 million, meaning that the most recent total is a decrease of 603,000. Continuing claims rose to just shy of 18 million, a rise of 2.2 million from the previous week. The four-week moving average, which smooths volatility, jumped to 13.3 million, an increase of 3.7 million from the previous week’s average.

The surge in unemployment has come amid efforts to contain the coronavirus spread. While some states and municipalities have begun bringing their respective economies back online, much of the key U.S. infrastructure remains on lockdown.

Economists not only expect the Q1 number to end up sharply lower but predict a second-quarter decline worse than anything the U.S. has ever seen.

The most recent claims data comes ahead of next week’s nonfarm payrolls report for April. Federal Reserve Chairman Jerome Powell said Wednesday that the unemployment rate is likely to rise above 10% from the March level of 4.4% which counted a period before the intense social distancing policies went into effect.

Nonfarm payrolls for April are expected to show a decline of 2.25 million, with an unemployment rate of 15.1%, according to preliminary estimates from FactSet.


Source  
Weekly jobless claims near four-month low10 Jul, 2020  

The number of Americans filing for jobless benefits dropped to a near four-month low last week, but a record 32.9 million people were collecting unemployment...

Understanding the Pandemic Stock Market9 Jul, 2020  

The worse economic fundamentals and forecasts become, the more mysterious stock-market outcomes in the US appear. At a time when genuine news...

Oil prices just had their best quarter in 30 years2 Jul, 2020  

Oil prices registered their best quarterly performance in 30 years during the three months through to the end of June, staging a dramatic comeback after falling...


Americans will remain barred from European travel1 Jul, 2020  

Travelers from a list of 15 nations will be allowed entry to the European Union starting Wednesday, but the United States is not on the list...

Markets torn between upbeat data and virus fears30 Jun, 2020  

The dollar held on to modest gains on Tuesday as upbeat U.S. home sales and Chinese factory data left traders torn between optimism about global...

Dollar keeps safe-haven bid as resurgent virus threatens recovery26 Jun, 2020  

The dollar held firm on Friday as caution over rapid rises in U.S. coronavirus cases cast doubt over the reopening of the economy, keeping demand for the safe-haven...


Markets are tied to infection data again25 Jun, 2020  

Confidence in the economic recovery has been called into question by investors. US markets on Wednesday lost more than 2.6%, and Hong Kong...

Deeper-than-expected contraction in U.S. economy19 Jun, 2020  

A defacto lockdown in the United States has lasted longer than expected despite a rollback in some restrictions on mobility, pointing to a deeper-than-expected...

What Sweden will do if there's a second wave of the coronavirus18 Jun, 2020  

Sweden attracted international attention for not implementing a strict lockdown when the coronavirus first emerged earlier this year, now the country...