Sep 21, 2023 - Economy
Weekly jobless claims hit a low not seen since January
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Initial claims for unemployment insurance fell to the lowest weekly level since January.
Why it matters: Claims are one of the best bits of high-frequency economic data available, giving a quick snapshot of the health of the job market.
Context: Since the start of the year, jobless claims had been gradually rising, as the Fed's efforts to slow down the economy with rate hikes over the last year seemed to be gaining traction.
- Yes, but: In recent weeks, they've fallen back down toward the 200,000 area, a low level that last prevailed during the late 1960s.
The intrigue: This is good news for the economy, suggesting that there's still considerable momentum.
- But it's not great for the stock market, since it suggests that the Fed won't be cutting interest rates any time soon.
