Unemployment Claims Rise More Than Expected, Boosting Hopes For Rate Cuts As Cracks In Labor Market Emerge
Portfolio Pulse from Piero Cingari
Unemployment claims in the U.S. rose more than expected, reinforcing investor beliefs that the Federal Reserve may lower interest rates. Weekly jobless claims increased to 243,000, and continuing claims reached their highest levels since November 2021. Despite this, futures on major U.S. indices were positive, with the Nasdaq 100, tracked by the Invesco QQQ Trust (NASDAQ:QQQ), up 0.6% in premarket trading.
July 18, 2024 | 12:47 pm
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The Invesco QQQ Trust (NASDAQ:QQQ) saw a 0.6% increase in futures during premarket trading despite a rise in unemployment claims, indicating investor optimism for potential Federal Reserve rate cuts.
Despite the rise in unemployment claims, the positive movement in QQQ futures suggests that investors are optimistic about potential Federal Reserve rate cuts, which could benefit tech stocks.
CONFIDENCE 90
IMPORTANCE 70
RELEVANCE 80