Initial Claims Miss As California Catches Up With Claims Backlog

For the 4th week in a row, initial jobless claims came in worse than expected. According to the BLS there are no special adjustments for "glitches" or shutdowns or any other caveats and in fact California (at the center of the software glitch that impacted everything) saw the biggest 'drop' in claims: 13,033 as fewer layoffs in service, wholesales trade, and retail trade industries supported the data. If this is indeed a clean number, it is still the highest level of jobless claims in over 3 months. It seems, post-FOMC, that the market needs moar bad prints to spark some more momentum and a mere 10k miss is just not enough to warrant another BFTATH ramp (for now).

 

 

Charts: Bloomberg