From our colleagues at our sister company, Argent Trust:
In this morning’s data, Initial Jobless Claims were 229,000 for the week ending June 18th, slightly higher than expected. In addition, Continuing Claims were 1,315,000 for the week ending June 11th, which is slightly less than expected. Overall, despite slight movements in the weekly data, initial and continuing claims remain low highlighting a tight labor market. Even as initial claims have increased in recent weeks, claims are well below the 300k level which is considered normal for in a healthy labor environment. As consumers have moved their spending from goods to services as we come out of the pandemic and enter the summer season, it remains difficult for many companies to keep up in terms of finding and retaining workers. Focused on balancing the stability of the labor market and prices, the Federal Reserve is likely to continue with tightening policy to address inflation through rate increases and reducing their balance sheet in the weeks ahead. In all, the yield on the 10-year US treasury ticks lower and equity futures are higher as we head into the market open.
This material is intended to be for informational purposes only and is intended for current or prospective clients of Argent Trust Company. This information is obtained from sources believed to be reliable, and its accuracy and completeness are not guaranteed. Information does not constitute a recommendation of any investment strategy, is not intended as investment advice, and does not take into account all the circumstances of each investor. Forward-looking assumptions are Argent Trust Company’s current estimates or expectations of future events or future results based on proprietary research and should not be construed as an estimate or promise of results that a portfolio may achieve. Actual results could differ materially from the results indicated by this information. Investments can go down as well as up. Past performance is not a reliable indicator of future results.