Merk Investments: Jobless Claims

Jobless claims for the week ending 7 June saw claims increase to 384K and the four-week moving average settle above 371K. Continuing claims, which are released with a one-week lag, rose to 3.139mln for the week ending 31 May. This data confirms our long held assessment that the claims data would continue a slow and steady march towards 400K. More importantly, the continuing claims data continued to climb and 600K higher than it was one year ago. This does imply that the recent move in the rate of unemployment, once seasonal adjustments are made, should prove durable over time.

Joseph Brusuelas
Merk Investments
Chief Economist/VP Global Strategy

This report was prepared by Merk Investments LLC, and reflects the current opinion of the author.  It is based upon sources and data believed to be accurate and reliable.  Opinions and forward looking statements expressed are subject to change without notice.  This information does not constitute a solicitation or an offer to buy or sell any investment product, nor provide investment advice. Merk Investments does not own any of the stocks mentioned; this is not an offer to buy or sell any security mentioned.