Archive for the ‘Economics’ tag
Initial Jobless Claims are "Useless" Due to Distortion, Economist Says
Claims for unemployment benefits in the U.S. rose to their highest
level since March 2002 with 455k initial claims reported
in the week ending Aug. 2, but economists say new rules that make it
easier to file a claim is putting upward pressure on the figures.
“The larger than expected rise is not a complete shock,” said TD
Securities economics strategist Charmaine Buskas. “The labor department
did recently announce a 13 week extension to the benefits period and this
has clearly caused a huge influx of re-filers.”
Fed Watch: FOMC’s Window of Opportunity for Rate Hike Now Closed
The Federal Open Market Committee (FOMC) is once
again expected to leave rates where they are as it continues to assess
the extent of recent signs of weakness in the U.S. economy.
Julian Jessop of Capital Economics said that given the Fed didn’t move
on interest rates in June, the odds of a change in rates now is even less
likely.
However, Jessop said there is a chance Charles Plosser will join
fellow FOMC hawk Richard Fisher in voting for an immediate rate
hike…