US Jobless Claims

As we know, the oil price is reported in US Dollars; therefore any changes in USD Index might have impact on oil price. So, we would like to discuss one of the indicators of USD, the US jobless claim.
Basically there are two important jobless claims that we should know which are US Initial Jobless Claims and US Continuing Jobless Claims, weekly report as well. From the titles, we can understand that US Initial Jobless Claims measures the number of individuals who files for unemployment insurance for the first time (initial) during the past week. While US Continuing Jobless Claims measures the number of unemployed individuals who qualify for benefits under unemployment insurance.

In simple words, for both claims
number of individuals more than expected — bearish for US Dollars
number of individuals less than expected — bullish for US Dollars
Weaker USD — bullish for oil price
Stronger USD — bearish for oil price
Same, the forecast and actual value can be tracked on (US Continuing Jobless Claims) and (US Initial Jobless Claims).
With these two US jobless claims, we can actually expect the oil price to be bearish or bullish indirectly from their impact on US Dollars.

Leave a Reply

Your email address will not be published. Required fields are marked *

US Crude Oil Inventories

Tips for Trading on eToro