Stocks unmoved by jobless rate jump
Posted April 12, 2012
The first weekly claims report since the dismal jobs number last Friday indicated an unexpected jump in claims, increasing 13,000 to 380,000. This was quite a surprise given that economists were expecting a flat report.
The stock market essentially ignored that data, and we’ve seen quite a rally today in trading. Yields have risen slightly, topping 2.05 by noon. We’re also experiencing a bit of upward price pressure on mortgage rates Thursday as well.
The PPI report came in relatively flat, and we’ll be looking to the CPI report Friday to give us a better gauge of how inflation is trending right now. Remember that the Fed watches inflationary data very carefully as it’s a metric which is used to help determine monetary policy.
In one of the latest accolades for Raleigh, KPMG in March ranked Raleigh as the number five most cost-effective business location in the country. Data like that is very helpful in providing an attractive climate for new business as well as continued employment growth.