According to data from the US Department of Labor, 553,000 people filed for the first time for unemployment in the past week. Even though it marked another pandemic-era low, it came above the 545,000 estimates. However, the figures are below 600,000 for the third consecutive week, dipping to the lowest level since March 2020.
During the two-day meeting, Fed stated that “indicators of economic activity and employment have turned up recently, although the sectors most adversely affected by the pandemic remain weak.” The difficulties in the labor market continue to fuel an accommodative monetary policy.
Still, the overall data hinted at a positive trend in the job market’s recovery path.
At the same time, the Bureau of Economic analysis revealed that the gross domestic product grew 6.4% in the quarter on an annualized basis, below the 6.8% estimated rate. The acceleration was mainly due to the $1.9 trillion stimulus package approved by Congress earlier this year.
Sources: forexfactory.com, cnbc.com