Job Surprise: A Firm US Year-End with Implications for the Fed

The last week of the year in the United States has been marked by limited economic and market activity due to the Christmas holidays, resulting in low liquidity and a scarcity of relevant releases. However, we highlight the following news. Weekly claims for unemployment insurance surprised the market by declining to 219,000 in the week ended December 21. This result was below consensus, which expected a rebound to 223,000 claims, and a departure from the previous figure of 220,000. This decline reinforces the perception of a solid labor market, something that could have important implications for the monetary policy decisions of the Federal Reserve, which continues to closely monitor employment as one of the pillars for adjusting its interest rates.

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