On Thursday, the 22nd of June, the US unemployment claims will be released. Expectations are that a 241K increase in the number of individuals who filed for unemployment benefits for the first time in the past week, last week the number was at just 237K.
The result suggests some loss of momentum in the labour market. The job market is one of the biggest indicators of how well a country’s economy is doing. The labour market is central to the Federal Reserve’s discussion on when to raise interest rates.
Released weekly, unemployment claims are the first indication of how well the US job market is doing. The dollar is bullish if the actual result surpasses expectations and the number of individuals without work declines.
Consumer spending is highly correlated with unemployment claims, which is one of the biggest driving forces of any economy.
Gauging the number of people who sign up for unemployment benefits, this economic indicator can shake up any investment portfolio.
When the actual results are better than forecasted, US dollar positions could see a boost in profit.