The Number: A reading of 472K is slightly better than expectations, and down 6K from last week.
This is the second not-totally-horrible report in a row, but considering the fact that we were just recently “stalled out” at 450K, this is actually pretty bad.
Stocks are looking for a modestly higher open.
The Background: Analysts are looking for initial jobless claims of 475K, which is pretty close to where they were last week, which was nicely below the 500K+ they were in the week before, but well above the 450K stall-out pace we’d seen in the several weeks previously.
Got that? Basically we stalled out spiked, and now we’re hoping to see the spike come down, and after yesterday’s strong ISM (and rally) it would seem that maybe there’s some high-hopes going into this number.
Here’s the four-week moving average of claims…