US: Weekly Initial Jobless Claims increase to 242K vs. 240K expected

Initial Jobless Claims in the US advanced by 13,000 in the week ending April 29.
Continuing Jobless Claims declined by 38,000 in the week ending April 22.
US Dollar Index rises after economic reports.

Matías Salord FXStreet

Initial Jobless claims totaled 242,000 in the week ending April 29, the weekly data published by the US Department of Labor (DOL) showed on Thursday. The print follows the previous week’s 229,000 (revised from 230,000) and came in above market expectations of 240,000.

“The 4-week moving average was 239,250, an increase of 3,500 from the previous week's revised average. The previous week's average was revised down by 250 from 236,000 to 235,750.”

Continuing Claims decreased by 38,000 in the week ended April 22 to 1.805 million, below the 1.863 million of market consensus. It is the lowest level in three weeks.

“The 4-week moving average was 1,828,250, a decrease of 4,500 from the previous week's revised average. The previous week's average was revised down by 3,750 from 1,836,500 to 1,832,750.”

On Friday, the US official employment report is due with market expectations pointing to an increase in payrolls of 179,000. ADP surprised on Wednesday with higher-than-expected figures.

Market reaction

The US Dollar rose following the release of Jobless Claims and Labor Cost figures. Market participants focus on the European Central Bank which has just announced a 25 basis points rate hike. The EUR/USD is falling, trading at daily lows near 1.1020.

Author

Matías Salord

FXStreet

Matías started in financial markets in 2008, after graduating in Economics. He was trained in chart analysis and then became an educator. He also studied Journalism. He started writing analyses for specialized websites before joining FXStreet.

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