The number of US citizens claiming for jobseekers benefits has fallen to its lowest level in more than five years, taking economists by surprise.
According to the US Labour department released figures that showed that applications for unemployment insurance payments fell by 4,000 to 323,000 in the week ending May the fourth. The figure was the lowest recorded since January 2008. Economists had been forecasting for the figure to come in at 335,000 claims.
The number of workers being laid off has dropped in 2013 as employers rely on their existing staff to meet demand. The budget cuts known as sequestration could cause this to change, despite the cuts the US has continued to show an improvement in its economy.
Today’s data has caused optimism to increase in the markets bolstering the riskier assets. If the labour market continues to improve it could help get some of the 11.7 million unemployed Americans back into work.
Initial jobless claims reflect weekly firings and tend to fall as job growth measured by the monthly non-farm payrolls report accelerates. Payrolls expanded by 165,000 workers last month following a 138,000 gain in March, the Labour Department reported on May 3. Revisions added a total of 114,000 jobs to the tally in February and March. The unemployment rate unexpectedly fell to a four-year low of 7.5%.
Current US Dollar (USD) Exchange Rates
As of 14:30 pm GMT
The US Dollar to Pound Sterling exchange rate is currently trading in the region of 0.6445
The US Dollar to Euro exchange rate is currently trading in the region of 0.7616
The US Dollar to Australian Dollar exchange rate is currently trading in the region of 0.9792
The US Dollar to Canadian Dollar exchange rate is currently trading in the region of 1.0028
The US Dollar to Japanese Yen exchange rate is currently trading in the region of 99.0522
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