{"id":2024468,"date":"2023-09-07T11:06:01","date_gmt":"2023-09-07T15:06:01","guid":{"rendered":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jobless-claims-drop-to-lowest-level-since-february-as-labor-market-keeps-going\/"},"modified":"2023-09-07T11:08:17","modified_gmt":"2023-09-07T15:08:17","slug":"jobless-claims-drop-to-lowest-level-since-february-as-labor-market-keeps-going","status":"publish","type":"post","link":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jobless-claims-drop-to-lowest-level-since-february-as-labor-market-keeps-going\/","title":{"rendered":"Jobless claims hit lowest level since Feb, labor market remains strong."},"content":{"rendered":"<aside class=\"mashsb-container mashsb-main mashsb-stretched\"><div class=\"mashsb-box\"><div class=\"mashsb-count mash-medium\" style=\"&quot;\"><div class=\"counts mashsbcount\">22<\/div><span class=\"mashsb-sharetext\">SHARES<\/span><\/div><div class=\"mashsb-buttons\"><a class=\"mashicon-facebook mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/www.facebook.com\/sharer.php?u=https%3A%2F%2Fwww.conservativenewsdaily.net%2Fbreaking-news%2Fjobless-claims-drop-to-lowest-level-since-february-as-labor-market-keeps-going%2F\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Facebook<\/span><\/a><a class=\"mashicon-twitter mash-medium mash-nomargin mashsb-noshadow\" href=\"https:\/\/twitter.com\/intent\/tweet?text=&amp;url=https:\/\/www.conservativenewsdaily.net\/breaking-news\/?p=2024468&amp;via=ConservNewsDly\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Twitter<\/span><\/a><a class=\"mashicon-subscribe mash-medium mash-nomargin mashsb-noshadow\" href=\"#\" target=\"_top\" rel=\"nofollow\"><span class=\"icon\"><\/span><span class=\"text\">Subscribe<\/span><\/a><div class=\"onoffswitch2 mash-medium mashsb-noshadow\" style=\"display:none\"><\/div><\/div>\n            <\/div>\n                <div style=\"clear:both\"><\/div><\/aside>\n            <!-- Share buttons by mashshare.net - Version: 4.0.47--><h2>The Labor \u200dMarket\u200c Continues to Thrive \u2063as Jobless Claims Drop<\/h2>\n<p>The \u2063number of new applications for \u200c<a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jobless-claims-numbers-are-sending-a-surprising-message-about-the-economy\/\" title=\"Unemployment claims reveal unexpected economic message.\">unemployment benefits unexpectedly dropped<\/a> by 13,000 to 216,000 last week, according to the Labor Department. This\u200c marks the lowest\u200b number of jobless claims since February and indicates that the <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/jobless-claims-drop-to-lowest-level-since-february-as-labor-market-keeps-going\/\" title=\"Jobless claims hit lowest level since Feb, labor market remains strong.\">labor\u200b market remains\u200c strong<\/a>, despite the\u2064 Federal Reserve&#8217;s <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/turkeys-lira-sinks-again-as-erdogan-cites-islamic-sharia-law-to-defend-economic-management\/\" title=\"Turkey\u2019s Lira Sinks Again as Erdogan Cites Islamic Sharia Law to Defend Economic Management\">high interest rates<\/a> and \u2064hints\u200d of further increases.<\/p>\n<h3>Positive Sign for the Labor Market<\/h3>\n<p>Jobless claims \u2062serve as a \u200cproxy\u2064 for layoffs, so when \u200bfewer people are claiming\u2062 unemployment insurance, it suggests that\u2063 layoffs \u2063are minimal.\u200c These new \u200dnumbers\u2064 contradict expectations of a softening labor \u2063market, especially considering the recent three-tenths of a percentage point increase in the \u2062unemployment rate to 3.8%.<\/p>\n<blockquote>\n<p>&#8220;Net, net, applications\u200d for unemployment benefits \u2063have tumbled in recent weeks, showing the labor market is even further away from rebalancing,&#8221; said Chris Rupkey, chief economist\u200b at FWDBONDS. &#8220;We do not know if\u200d this is enough for Fed Chair Powell to pull the trigger on another \u200crate hike later\u200d this year, but \u2064it \u200csure \u200dcalls \u200binto question that three-tenths\u2063 jump in\u200d the unemployment rate to 3.8% in last week&#8217;s \u200breport, \u2064which showed the sky was falling \u2063for the economy.&#8221;<\/p>\n<\/blockquote>\n<h3>The Fed&#8217;s Dilemma<\/h3>\n<p>The Federal Reserve has already raised its interest rate target to the highest level since the dot-com\u2064 bubble. The question now is\u2064 whether the \u2063Fed will proceed with another rate\u2063 hike\u200c or pause and potentially cut rates in\u200c the future. Supporters of a\u2064 rate hike argue that the labor market has not\u200d loosened enough to permanently bring down inflation, while\u200b others caution against overstepping, as it could lead to \u2064a\u200c recession and job\u2062 losses.<\/p>\n<p>Investors currently \u200dbelieve \u2063that the central bank will not raise rates at its \u200dupcoming meeting,\u200c but may consider another hike \u200clater this year if \u200binflation\u200d remains\u200d stubbornly high. After \u2063the\u200b latest report, there is a 93% chance that the Fed will maintain steady rates in September, according\u2064 to CME Group&#8217;s FedWatch tool.<\/p>\n<h3>Defying Expectations<\/h3>\n<p>Despite the rate\u2062 hikes, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/enough-stimulus-already-weekly-jobless-claims-plunge-to-lowest-level-since-1969\/\" title=\"Enough Stimulus Already? Weekly Jobless Claims Plunge to Lowest Level Since 1969\">jobless claims continue<\/a> to\u200b defy \u200cexpectations. Chris Zaccarelli, chief\u2063 investment officer for Independent \u200dAdvisor Alliance, stated that the\u200c latest report makes a\u2063 recession in 2023 less likely. While higher interest rates \u2064were expected to slow economic \u2063growth, the process is\u200c taking longer than anticipated.<\/p>\n<p>The \u2064most recent employment report for August\u200b showed the addition of 187,000 jobs, <a href=\"https:\/\/www.conservativenewsdaily.net\/breaking-news\/gdp-growth-unexpectedly-ticks-up-to-2-4-annual-rate-in-second-quarter\/\" title=\"GDP growth unexpectedly rises to 2.4% in Q2.\">surpassing economists&#8217; predictions<\/a>. However, \u2064the report \u200bwas mixed\u2063 due to the slight increase in the unemployment \u2064rate.<\/p>\n<p><strong>Click here\u200d to read more from The Washington Examiner.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"<p>The Labor Department reported a surprising 13,000 decrease in new unemployment benefit applications last week, reaching a low of 216,000. This indicates a strong labor market despite the Federal Reserve&#8217;s high interest rates and hints at a potential rate increase.<\/p>\n","protected":false},"author":1,"featured_media":2024469,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_mo_disable_npp":"","fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","fifu_image_alt":"","footnotes":""},"categories":[538],"tags":[],"class_list":["post-2024468","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-washington-examiner"],"fifu_image_url":"https:\/\/cndimages.nyc3.digitaloceanspaces.com\/breaking-news\/wp-content\/uploads\/2021\/01\/IMG_2758-scaled-1.jpg","_links":{"self":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2024468","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/comments?post=2024468"}],"version-history":[{"count":0,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/posts\/2024468\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media\/2024469"}],"wp:attachment":[{"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/media?parent=2024468"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/categories?post=2024468"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.conservativenewsdaily.net\/breaking-news\/wp-json\/wp\/v2\/tags?post=2024468"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}