· Initial
claims for unemployment insurance jumped 34,000 last week to 357,000
from an upwardly revised level during the prior period. Consensus
expectations had been for a decline to 317,000.
· No specific factors were sighted by the Labor Department for the increase but volatility related to large seasonal factors often occurs around the Thanksgiving holiday. The seasonally unadjusted number of initial claims fell 45,203 last week.
· During the
last ten years there has been a (negative) 77% correlation between the
level of initial claims and the m/m change in nonfarm payroll
employment.
· The four-week
moving average of initial claims rose to 325,000 (3.0% y/y), its highest
level since June.
· Continuing claims for unemployment insurance also jumped by 45,000 after a downwardly revised 5,000 worker decline the prior week.
· The insured rate of unemployment remained at 1.9%, the average rate since February.