This morning’s Jobless Claims report was decent, certainly not great. Tomorrow’s more important payrolls report looms like a hitman behind the curtains in Hyman Roth’s house.
New claims for unemployment benefits fell to a near three-month low last week, pointing to some improvement in the troubled labor market.
Thursday’s relatively upbeat report did not change perceptions the Federal Reserve will roll out a new asset purchasing program as early next month to keep interest rates low and support the economic recovery.
Initial claims for state unemployment benefits dropped 11,000 to a seasonally adjusted 445,000, the lowest since the July 10 week, the Labor Department said.
Analysts polled by Reuters had forecast claims edging up to 455,000 from the previously reported 453,000. The government revised the prior week’s figure up to 456,000.
It’ll probably allow the market to hold its gains at least into the close, when we hear from Alcoa ($AA), the first big report of 3rd quarter earnings.