After 4 weeks missing expectations (and 3 above the crucial 300k mark), initial jobless claims totally and iutterly collapsed last week. Printing 265k (beating the 300k expectation by the most in years), the 13.9% drop WoW was the biggest since September 2005!!! This is the lowest initial claims data since the financial crisis and in fact the lowest since April 2000. But it is the story from the Shale states that is most troubling as initial claims through the 2nd week of January (data is lagged by state) show a massive surge in initial claims as unambiguously good news is very much not for many thousands across these regions.
Yep looks totally normal...
[3]
Lowest initial claims since April 2000... and biggest drop since September 2005...
[4]
This is lowest non-seasonally-adjusted claims print for this time of year in at least a decade.
The 265k print perfectly adjusts the 4-week average that is so closely watched below the 300k mark (to 299k)... coincidence?
as Shale State Claims explode...
[5]
we can only say WTF!?
Charts: Bloomberg
