Today, the U.S. Department of Labor reported that growth in the labor market was slower than the third quarter after new data showed the number of people making initial claims for unemployment benefits in the U.S. was at a high level despite a decline last week.
Data released by the Department of Labor on Thursday showed that the total unemployment claims last week fell to 751,000 in the week ending October 31, compared to 758,000 in the previous week. Economists predict that applications will drop to 732,000 applications.
It is possible that the economy will be drowning in sentiment full of uncertainty after the current Presidential election. Election results could weaken business investment and delay the second Covid-19 aid package.
Democratic representative Joe Biden is running for President Donald Trump on Thursday. However, Trump has expressed dissatisfaction and said that there is an element of fraud in the election. Trump has proposed a temporary reconsideration of the decision yet.
U.S. central bank is expected to keep interest rates close to zero in the minutes of the Fed meeting later.
So far more than $ 3 trillion of stimulus assistance has been channeled to drive economic growth. The U.S. recorded a growth of 33.1% in the third quarter after contracting 31.4% in the second quarter.
The government-monitored employment report on Friday is expected to show an NFP reading of 600,000 jobs in October after rising to 661,000 in September.
