US: Initial jobless claims increased a marginal 1k to 236k – Nomura

Analysts at Nomura note that for the week ending 26 August, US initial jobless claims increased a marginal 1k to 236k, remaining within a low, steady range.

Key Quotes

“For the week ending 19 August, continuing unemployment insurance claims decreased 12k to 1942k. The tightening labor market has discouraged firms from letting go of workers, while strong increases in employment continue to reduce the stock of those with unemployment insurance.”

“Note that next week’s release of initial claims data will be one of the earliest indicators of the impact of Hurricane Harvey. Initial claims spiked after Hurricane Katrina in 2005 for almost 6 weeks after landfall. Next week’s initial claims could show the early signs of an expected transitory increase.”