Stocks unmoved by jobless rate jump
Posted April 12, 2012 5:39 p.m. EDT
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.