The United States last week, initial jobless claims fell in March import prices
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The number of unemployment claims initially declined in the US last week, indicating that despite the sharp slowdown in employment growth in March, the labor market remains strong.
Other data on Thursday showed that, although the cost of oil products fell sharply, the U.S. import price was flat in March, but the underlying input inflationary pressure was steadily rising. This data and the tight labor market have strengthened the expectation that inflation will increase this year.
Analysts say a trade war between the United States and China could increase price pressure and push the Federal Reserve /FED to a more active way to raise interest rates. The Fed raised interest rates last month and predicted that there will be at least two additional interest rates this year.
"The Fed should be able to maintain a slow austerity process as long as we do not fall into a trade war on tariffs on various commodities," said Joel Naroff, chief analyst at Naroff Economic Advisors in Pennsylvania.
"But tit for tat tariff measures will push up import prices, which will further worry the Fed."
The Ministry of labor said that the number of unemployment claims decreased by 9000 people to 233 thousand in the week April 7th. Analysts surveyed by Reuters predicted that the number of initial jobless claims decreased to 230 thousand.
Due to the different Easter holidays and school spring holidays each year, the number of unemployed people will fluctuate sharply around this time of year.
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