US: Initial jobless claims to remain historically high – TDS

US initial jobless claims will offer another update on the US labour market after last week's record-breaking print. Analysts at TD Securities expect a higher number for this week.

Key quotes

“We caution against extrapolating indefinitely but jobless claims are likely to remain historically high for at least a few weeks as the impact of COVID-19 shutdowns is reflected in the data.” 

“Last week's 3.283mn figure was more than four times the previous all-time high, 695K in 1982. The high in the 2008-09 recession was 665K.” 

“We are projecting an even higher number for this week at 4.3mn but caution it could be even higher. The consensus is looking for a lower number at 3.6mn.”