The number of jobless claims in the US remained low at the beginning of last week, and the job market is still resilient

The Zhitong Finance App learned that the number of jobless claims in the US was still low at the beginning of last week, once again highlighting the resilience of the US labor market. According to data released by the US Department of Labor on Thursday, the number of initial jobless claims in the US for the week ending October 10 was 199,000, slightly lower than the market's general expectation of 200,000, higher than the revised previous value of 198,000; the number of renewed jobless claims for the week ending October 3 was 1.71 million, in line with general market expectations. The previous value was revised from 1,716,000 to 1,714,000; the four-week average of jobless claims for the week ending October 10 was 198,500.

The number of initial jobless claims in the US is still near its lowest level since the 1960s. Combined with the more moderate new non-farm payroll data in September, the sluggish number of applicants indicates that the labor market is in such a state: employers are cautious about expanding recruitment against the backdrop of rising costs, but are still retaining existing employees.

The US labor market, which is still resilient, compounded by rising inflationary pressure, may support the Federal Reserve to take further action on interest rates. After the US CPI data for September released on Wednesday exceeded expectations, the US PPI data for September released on Thursday also completely exceeded expectations, indicating that the impact of rising energy prices is being transmitted to various sectors of the US economy. As of press release, according to the CME “Federal Reserve Watch” tool, the probability of traders betting on the Fed's interest rate hike of 25 basis points in October has risen to over 70%, far higher than about 18% before Wednesday's CPI data was released; the probability of betting on the December rate hike reached 66%.