The number of Americans filing new claims for unemployment benefits fell last week, pointing to underlying strength in the labour market that should continue to support the economy.
The labour market is steadily rebalancing in the wake of 525 basis points worth of interest rate hikes from the Federal Reserve since March 2022 to slow demand in the overall economy. The Fed has kept its benchmark overnight interest rate in the current 5.25 per cent-5.50 per cent range since July. Financial markets expect the first rate cut will come in September.
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