USDJPY Breaks Higher On US Initial Jobless Claims, Continuing Claims Data
- USD Continuing Claims comes in at 2207K vs. 2233K estimate
- USD Initial Jobless Claims has favorable 255K read vs. 278K estimate
- USDJPY climbs on back of favorable US jobs data
US jobs data for last week had a significant beat on expectations prompting a move higher in the USDJPY pair. US Continuing Claims reported 2207K vs. 2233K surveyed. The data did have a slight upward revision for last week by +1K to 2216K. Initial Jobless Claims declined -26K from last week posting a 255K read vs a 278K survey by Bloomberg News Economists. According to Reuters, US Jobless Claims are at their lowest level since 1973.
USDJPY experienced a slight surge on the back of the jobs data. The pair climbed from ¥123.80 to ¥123.92 in the 1-minute candle at 12:30GMT. The pair continued its break and is currently trading at ¥124. 08, at the time of writing.
Jobs data is an important indicator for the weekly labor market in the United States. Market participants look to initial jobless claims to gauge how many new individuals are seeking to receive state jobless benefits. Continuing claims on a week-by-week basis helps investors price how many individuals have received employment. A lower read on jobs data indicates a favorable economic outlook.
The Federal Open Market Committee will meet to discuss a rate decision next week just before US GDP figures for the 2nd quarter are released. Here’s the outlook for USD GDP:
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