There will be a big focus on non-farm payroll data that will be released tomorrow. The fact that Yellen makes an interest statement first and then makes a U-turn will actually increase the importance attributed to data in terms of the way policies will ultimately go. For this reason, the reflections of the data expected to increase around 1 million will be made by linking the Fed’s tapering issue more closely.
The unemployment claims announced today fell to 498,000 in the week ending on May 1. The previous week’s figure was revised to 590,000. The 4-week moving average has declined to 560,000. These levels are the best of the period when the pandemic was effective. It shows that the recovery in the labor market and recruitment are now fast.
The COVID-19 wave remains a concern and a threat to outlook, but recent polls have highlighted how economic activity led by the US is showing greater resistance to the virus led, and how increased optimism about outlook is fueling spending and investment. This also supports further employment growth. However, while 14 million jobs were regained last year, the total number of jobs reached in March is approximately 8.4 million lower than the pre-COVID peak, suggesting that the labor market recovery has a way to go further. Less restrictions mean opening more businesses. However, the speed of return to work of SME-style enterprises will gain importance in the later stages of employment growth, rather than large enterprises that can already open themselves. The sustainability of growth depends on how far it is spread to the base.
Kaynak Tera Yatırım
Hibya Haber Ajansı
Kaynak: Hibya Haber Ajansı