EURUSD, 240
U.S. initial jobless claims surged 17k to 274k in the week ended April 30, the highest level in five weeks. The 17k U.S. initial claims pop to 274k in the final week of April extended the 9k rise to 257k from a 42-year low of 248k in the April BLS survey week, as claims nearly return to the 276k recent peak in the week of Good Friday. Despite the sharp rise, the extremely tight mid-month readings signal upside risk for our 210k April payroll estimate. The claims roller-coaster ride since late-March, with high readings then and now with a deep trough in between, is likely due at least partly to the difficulties of seasonal adjustment with this year’s early Easter. Note that non-seasonally adjusted (NSA) claims fell 2k alongside the 17k seasonally adjusted (SA) rise. Claims averaged a lean 259k in April despite the late-month climb, versus higher recent averages of a still-lean 265k in March, 261k in February, 282k in January and 277k in December. The 248k April BLS survey week reading undershot recent already-tight BLS readings of 259k in March, 260k in February, 291k in January and 275k in both November and December.
EURUSD remains rather unmoved by the data, with support around the 1.1400 level and resistance at 1.1470-1.1480. All eyes now on tomorrows Non-Farm Payroll (NFP) figures.
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