On June 2nd 2011 at 12.30GMT the US Department of Labor released its Unеmployment Clаims report.
Last week’s value: 424K. This week’s forecast: 416K.
The Unеmployment Clаims report reflects the amount of the unemployed people who applied for unemployment benefit during the previous week.
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This is the 1st economic indicator informing about the current state of affairs in the country’s labor market. The amount of the unemployed is also an important indicator of the overall economic situation in the country. Consumer spending depends on unemployment and is correlated with the country’s labor market. It has always been a market driver. However, its impact on the currency market may vary so traders should consider it in connection with other indicators and the latest events.
In this particular case this is the last hint at the current state of affairs in the US labor market before Non-Farm Payrolls, which will probably show poor results. ADP Non-Farm Payrolls showed only 38K new jobs even though it had been expected to grow by 180K. Moreover, Manufacturing PMI declined down to 53.3pts.
The Initial Unemployment Claims value for the last week of May remained high. The situation is aggravated by floods and tornados seen in the Mid-West of the USA. So it will probably require a few weeks to improve the situation in the labor market.
The report is published on the 5th day of the week following the reporting one.
