Stable Jobless Claims Give Federal Reserve Room to Hold Interest Rates
The Federal Reserve has room to keep interest rates unchanged. Initial claims for state unemployment benefits rose 16,000 to a seasonally adjusted 219,000 for the week ended April 4. This moderate increase in new applications for unemployment benefits shows no signs of labour market deterioration. Low layoffs are anchoring the labour market. The Fed left its benchmark overnight interest rate in the range of 3.50 per cent-3.75 per cent.
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