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Initial jobless claims: a little soft, but continued expansion signaled

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Initial jobless claims: a little soft, but continued expansion signaled  – by New Deal democrat I’ll put up an analysis of this morning’s CPI later. In the meantime, initial jobless claims rose 21,000 last week to 248,000. The more important 4 week moving average rose 2,750 to 231,000. With a one week delay, continuing claims declined -8,000 to 1.684 million: On an absolute level, all of this remains very good. The YoY% changes are more important for forecasting purposes. There, for the week initial claims are up 15.9% YoY. However, the 4 week moving average is only up 7.9% – far too low an increase to be consistent with any imminent recession. Continuing claims remain very elevated YoY, up 24.6%: Remember, because YoY claims did not

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Initial jobless claims: a little soft, but continued expansion signaled

 – by New Deal democrat

I’ll put up an analysis of this morning’s CPI later. In the meantime, initial jobless claims rose 21,000 last week to 248,000. The more important 4 week moving average rose 2,750 to 231,000. With a one week delay, continuing claims declined -8,000 to 1.684 million:

Initial jobless claims: a little soft, but continued expansion signaled

On an absolute level, all of this remains very good.

The YoY% changes are more important for forecasting purposes. There, for the week initial claims are up 15.9% YoY. However, the 4 week moving average is only up 7.9% – far too low an increase to be consistent with any imminent recession. Continuing claims remain very elevated YoY, up 24.6%:

Initial jobless claims: a little soft, but continued expansion signaled

Remember, because YoY claims did not cross the 12.5% threshold for 2 full months, we re-set the clock. While claims suggest a slight increase in the unemployment rate on the order of 0.2%-0.3% in the next few months, that is not nearly enough to trigger the Sahm Rule.

In short, a little softness, but no recession signaled.

Jobless claims: a good example of why my forecasting discipline demands a confirmed trend, Angry Bear, New Deal democrat

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