US Initial Jobless Claims Preview: Coronavirus updates to overshadow gradual unemployment decline

Initial Jobless Claims are expected to fall to 1.3 million from 1.508 million while Continuing Claims are set to dip below 20 million for the first time since April. Meanwhile, US dollar trading remains tied to risk perception though pandemic premium has vanished, as FXStreet’s analyst Joseph Trevisani notes.

Key quotes

“Initial claims are forecast to fall to 1.3 million in the June 19 week from 1.508 million while continuing claims are projected to fall to 19.968 million in the June 12 week from 20.544 million previously.” 

“Markets have not moved from their pandemic susceptibility. Wednesday’s news reports of rising virus case in the US was the source of the equity losses and the dollar’s mild strength.”

“Unemployment claims will show a gradually improving labor market but their impact on markets will remain minor compared to the viral headlines.”