US initial jobless claims 258K vs 230K estimate

• Prior week 225K
• Initial jobless claims 258K vs 230K estimate
• 4-week moving average initial jobless claims 231K vs 224.25K
• Prior week of continuing claims 1.826M revised to 1.819M
• Continuing Claims 1.861M vs 1.830M estimate
• 4-week moving average of continueing claims 1.832M vs 1.828M

The largest increases in initial claims for the week ending September 28 were in Michigan (+1,187), Washington (+892),
Indiana (+657), California (+638), and Iowa (+568), while the largest decreases were in Georgia (-1,237), Florida (-919),
Texas (-532), Virginia (-481), and New York (-451).

There does not seem to be any comment on the weather or the strike and the largest increases in the initial claims are not centered on those states impacted by the storm or the strike.

US yields have moved lower after the CPI and the claims data.The 2 year yield is down -2.8 bps. The 10 year is down -0.6 bps.

US stocks are lower with the Nasdaq down -57 points and the S&P down -13.54 points (now worse with Nasdaq down -130 points and S&P -22 points. Yields are also higher).

The USDJPY is trading lower but has held support ahead of the broken 38.2% of the move down from the July high at 148.116. MOve below that and the swing area near 147.30 would be targeted. Hold here, and the battle with 149.36 to 149.55 as the topside target.

This article was written by Greg Michalowski at www.forexlive.com.