US: Trade deficit, factory orders and jobless claims in focus - TDS

Analysts at TD expects the US April international trade deficit to widen to $44.6bn from $43.6bn, market $44.5bn which reflects a pullback in both import and export activity in line with the advance report.

Key Quotes

“We are below the market on Q1 nonfarm productivity, which we see declining by -0.4% on an annualized quarterly basis vs mkt -0.1%, while we look for an above-consensus 3.6% increase in unit labour costs (market: 2.7%). Markets look for a 0.4% m/m increase in March factory orders, with nondurable orders expected to come in below the 0.7% monthly advance in durables, and a modest drift lower in initial jobless claims to 248k. While there are not any Fed officials scheduled to speak, we will be on alert for any impromptu interviews or commentary following yesterday’s meeting.”