Announced this morning, Initial Jobless Claims were 210,000 for the week ending March 21st, as expected and a slight increase of 5,000 from the previous week. Continuing Claims were 1,819,000 for the week ending March 14th, less than expected, and a decrease of -32,000 from the previous week’s revised figure.
Overall, another week where initial claims remain low and continuing claims decline modestly. Initial claims have been in the low 200k range for some time, averaging approximately 217,000 over the past 6 months. This level is considered healthy as it is well below 300k, which many consider the top threshold for a properly functioning labor market in the US economy. However, individuals are continuing to find employment options such as ridesharing, delivery services, or other similar jobs rather than filing for unemployment. Meanwhile, continuing claims have been slowly declining in recent months as companies evaluate their workforce, given the changing environment and determine exactly how artificial intelligence (AI) can help improve their productivity.
With the advent of the conflict between the US and Iran, higher oil prices have moved into focus for both individuals and companies, as gasoline prices are taking a larger share of expenses. As the quarterly earnings season commences in a few weeks, the duration of higher oil prices will be a key topic in company outlooks and important for the outlook for an economy that is heavily weighted to consumer spending.
In all, the 10-year US Treasury yield moved higher overnight but is ticking down, off the highs, this morning, and equity futures are lower as we head into the market open.
This material is intended to be for informational purposes only and is intended for current or prospective clients of Argent Trust Company. This information is obtained from sources believed to be reliable, and its accuracy and completeness are not guaranteed. Information does not constitute a recommendation of any investment strategy, is not intended as investment advice, and does not take into account all the circumstances of each investor. Forward-looking assumptions are Argent Trust Company’s current estimates or expectations of future events or future results based on proprietary research and should not be construed as an estimate or promise of results that a portfolio may achieve. Actual results could differ materially from the results indicated by this information. Investments can go down as well as up. Past performance is not a reliable indicator of future results.
