Fed Doves Get More Evidence As Jobless Claims Jump, Labor Cost Growth Slows

Market participants already convinced of a September rate cut from the Fed were handed more evidence on Thursday, when US jobless claims jumped and unit labor costs undershot in the first estimate for Q2. Initial claims rose 14,000 to an above-consensus 249,000, the highest in nearly a year. Economists expected 237,000 from the initial filers print. Although the week-to-week readings are volatile, the trend's unmistakable: Claims are moving higher. They're not going to revisit the lows this cy