From wsj.com’s “U.S. Stock Futures Wobble Ahead of Jobless Claims” ($) posted early Thursday:
U.S. stock futures faltered Thursday ahead of the release of weekly unemployment claims data, which will offer fresh indications on the extent of the damage from the coronavirus pandemic on the American labor market…
Initial jobless claims figures and continuing applications for benefits in the week ended Aug. 7, due at 8:30 a.m. ET, will offer a view into whether the layoffs occurring now are permanent, in contrast to the temporary layoffs and furloughs at the onset of the pandemic. Economists estimate initial unemployment claims fell slightly to 1.1 million last week.
Investors are concerned that the expiration last month of the extra $600 in weekly unemployment benefits is likely to leave less money in workers’ pockets and dent consumer spending, becoming a drag on the economy. The pace of change in weekly claims is being closely scrutinized as an indicator of the speed of the economic rebound, said Sebastian Mackay, a multiasset fund manager at Invesco.
“The U.S. labor market has had an enormous shock and is recovering very slowly,” Mr. Mackay said. “My base case is a gradual fall in the initial jobless claims. The direction of travel for the economy is recovery, but it’s quite slow in the labor market.”
My take: After Wednesday’s leap, a wobbly landing.
UPDATE: And then, guess what?